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X and Y are partners sharing profits and losses in the ratio of 3 : 2. They admit Z into partnership. X gives 1/3rd of his share while Y gives 1/10th from his share to Z. Calculate new profit-sharing ratio and sacrificing ratio.

Solution

Old Ratio of X and Y is 3 : 2.
X’s sacrifice = 13 × 35 = 315
Y’s sacrifice = 110
Sacrificing Ratio = 315: 110 or  2: 1

New Ratio = Old Share − Share Sacrificed
X’s new share = 35-315= 615
Y’s new share= 25-110 = 310
Z’s share = 315+110 = 930
New Ratio = 615: 310: 930 = 4 :3 : 3

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