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A and B are partner share …

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A and B are partner share in profit ratio 3:2,they admit C as new partner.A give 1/3 th of his share while B gives 1/10 from his share .Calculation new profit sharing ratio.

  • 1 answers

Payal Singh 6 years, 8 months ago

A's old share = {tex}{3\over 5}{/tex};

A surrender in favour of C ={tex} {3\over 5} \times {1\over 3}={ 1\over 5}{/tex}

A's new share ={tex}{3\over5} - {1\over 5} ={2\over 5}{/tex}

B's old share = {tex}2\over 5{/tex};

B surrender in favour of C = {tex}{2\over 5} \times {1\over 10 }={1\over 25}{/tex}

B's new share = {tex}{2\over 5} -{ 1\over 25}= {9\over 25}{/tex}

C's old share = 0

C's new share = {tex}0+{1\over 5}+{1\over 25}= {6\over 25}{/tex}

New ratio = {tex}{2\over 5}:{9\over 25}:{6\over 25}{/tex}= 10:9:6

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