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A and B are partners sharing profits in the ratio of 5 : 3. A surrenders 1/4th of his share and B surrenders 1/5 of his share in favour of C, a new partner. What is the sacrificing ratio? - Accounts

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Question

A and B are partners sharing profits in the ratio of 5 : 3. A surrenders `1/4`th of his share and B surrenders `1/5` of his share in favour of C, a new partner. What is the sacrificing ratio?

Options

  • 4 : 5

  • 5 : 4

  • 12 : 25

  • 25 : 12

MCQ
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Solution

25 : 12

Explanation:

A’s sacrificed share = `1/4 xx 5/8`

= `5/32`

B’s sacrificed share = `1/5 xx 3/8`

= `3/40`

The sacrificing ratio is the ratio of the amounts sacrificed by A and B. To express the ratio `5/32 : 3/40`, we find a common denominator of 160:

A’s sacrificed ratio = `(5 xx 5)/(32 xx 5)`

= `25/160`

B’s sacrificed ratio = `(3 xx 4)/(40 xx 4)`

= `12/160`

The sacrificing ratio of A and B = `25/160 : 12/160` or 25 : 12

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Chapter 3: Admission of a Partner - OBJECTIVE TYPE QUESTIONS [Page 3.212]

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D. K. Goel Accountancy Volume 1 and 2 [English] Class 12 ISC
Chapter 3 Admission of a Partner
OBJECTIVE TYPE QUESTIONS | Q 20. | Page 3.212
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