Question

A, B and C are partners in the firm sharing profit in the ratio of 5:3:2 respectively B retire and his share is taken up by A and C in the ratio of 2:1. Then immediately ,D is admitted for 25% share of profit, half of which was gifted by A and remaining share was taken by D equally from A and C. Calculate new profit-sharing ratio after D’s admission.

Answer 1

old profit sharing ratio amount partner 's (A 'B and C) = 5:3:2

B retires ad his share was taken by A and C in ratio of 2:1

Gaining Ratio of A and C is 2:1

New ratio between A and c is 21:9 or 7:3

Afteer this D is admitted for 24% share

Half of this 25% was gifted by and remaining half was provided by A and C equally.

It means 75% (50% +1/2 of remaining 50%) of 25% given to D) was actually given A and  Rest 25% was given by C.