Question

Suman, Shubham and Siya were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. Shubham retired from the firm and Suman and Siya decided to continue the business. Their gaining ratio was 3 : 2.

Calculate the new profit sharing ratio of Suman and Siya.

Answer 1

Old ratio = Suman : Shubham : Siya = 5 : 3 : 2

Shubham's share = `3/10`

Old ratio = Suman : Shubham : Siya = 5 : 3 : 2

Shubham's share =

`3/10 xx 3/5 = 9/50`

Gain of Siya

`3/10 xx 2/5 = 6/50`

New shares:

Suman: `5/10 + 9/50 = (25 + 9)/50 = 34/50`

Siya: `2/10 + 6/50 = (10 + 6)/50 = 16/50`

Therefore,

New profit sharing Ratio = 34 : 16 = 17 : 8