A, B and C are partners sharing profits in the ratio of 4 : 3 : 2. D is admitted for 1/3rd share in future profits. What is the sacrificing ratio?

Solution

 ABC
OLD RATIO432

D is admitted for 1/3share of profit
Let the combined share of profit of A, B C and D be = 1
Combined share of A, B and C after D’s admission = 1 − D’s shares
= 1-1/3 = 2/3    

New Ratio = Old Ratio × combined share of A, B and C

A’s= 4/9 × 2/3
 = 8/27
B’s= 3/9 × 2/3
 = 6/27
C’s= 2/9 × 2/3
 = 4/27

Sacrificing Ratio = Old Ratio − New Ratio                          

A’s= 4/9-8/27
 = 4/27
B’s= 3/9-6/27
 = 3/27
C’s= 2/7-4/27
 = 2/27
 ABC
Sacrificing sharing ratio4/273/272/27
=4   32

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