Question

Vishesh, Manik, and Amit were partners in a firm sharing profits and losses in the ratio of 5 : 4 : 1. Amit retired on 31st March, 2024.

Vishesh and Manik acquired Amit’s share in the ratio of 2 : 3. The new profit-sharing ratio between Vishesh and Manik after Amit’s retirement will be ______.

Options

• 5 : 4

• 2 : 3

• 1 : 1

• 27 : 23

Answer 1

Vishesh, Manik, and Amit were partners in a firm sharing profits and losses in the ratio of 5 : 4 : 1. Amit retired on 31st March, 2024.

Vishesh and Manik acquired Amit’s share in the ratio of 2 : 3. The new profit-sharing ratio between Vishesh and Manik after Amit’s retirement will be 27 : 23.

Explanation:

Old profit sharing ratio = 5 : 4 : 1

On the retirement of Amit, his share is taken by Vishesh, and Manik is the ratio of 2 : 3.

Vishesh’s gain = `1/10 xx 2/5`

= `2/50`

Manik’s gain = `1/10 xx 3/5`

= `3/50`

New share of Vishesh = `5/10 + 2/50`

= `(5 xx 5)/(10 xx 5) + 2/50`

= `25/50 + 2/50`

= `(25 + 2)/50`

= `27/50`

New share of Manik = `4/10 + 3/50`

= `(4 xx 5)/(10 xx 5) + 3/50`

= `20/50 + 3/50`

= `(20 + 3)/50`

= `23/50`

New profit sharing ratio of Vishesh and Manik = `27/50 : 23/50` or 27 : 23