Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Admission of a Partner

Question:
X and Y share profits in the ratio 2 :3. In future they have decided to share profits in equal ratio. Which partner will sacrifice in which ratio?
Options:
X sacrifice 1/10
Y sacrifice 1/5
Y sacrifice 1/10
None of these
Correct Answer:
Y sacrifice 1/10
Explanation:
sacrifice ratio = old ratio-new ratio
X Gain = 2/5-1/2 = 1/10(gain)
Y sacrifice = 3/5-1/2 = 1/10( sacrifice)