Solution
Calculation of New Profit-Sharing Ratio
Old Ratio of A, B and C is 2 : 2 : 1
. D is admitted for 1/6th share while . C will retain his 1/5 original share
Remaining share= 1-1/6-1/5
Remaining share will be shared by A and B in 2: 2 (old).
A’s | = 19/30 ×2/4 |
= 38/120 | |
B’s | = 19/30 × 2/4 |
= 38/120 | |
C’s | = 1/5 × 24/24 |
= 24/120 | |
D’s | = 1/6 × 20/20 |
= 20/120 |
A | B | C | D |
38 | 38 | 24 | 20 |
19 | 19 | 12 | 10 |
*Since nothing is mentioned about the sacrifice made by the existing partners, it is assumed that A and B sacrifice in their old ratio.
Calculation of Sacrificing Ratio
Sacrificing Ratio = Old ratio- new ratio
A’s | = 2/5-19/60 |
= 24-19/60 = 5/60 | |
B’s | = 2/5-19/60 |
= 24-19/60 = 5/60 | |
Sacrificing Ratio of A:B | =5: 5 = 1: 1 |