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Subjects

Accountancy

New Profit Sharing Ratio

In this Class 12 Accountancy topic from Reconstitution – Admission of a Partner, students learn how to determine the new profit-sharing ratio among partners after a new partner joins the firm. The topic explains how the incoming partner’s agreed share affects the existing partners and how the revised ratio is calculated from the old ratio, the new partner’s share, and any agreed sacrifice. Students also practise applying these concepts to partnership adjustment questions accurately.

Expert · Level 2 · 25 questions

Practice questions

01A and B share profits in the ratio \(9:1\). C is admitted for a \(1/10\) share of the profits, which is sacrificed by A and B in the ratio \(4:1\). What will be B’s new share of profit?

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02A and B share profits in the ratio 5:6. C is admitted as a partner for a 3/11 share of the total profit. The remaining profit is divided between A and B in their old ratio. What will be the new profit-sharing ratio?

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03If the new partner's share is taken from old partners in their old ratio what will be the sacrificing ratio of old partners?

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04A and B share profits in the ratio 10:3. They admit C for a 1/13 share of the total profits, which is surrendered by A and B in the ratio 3:2. What will be the new profit-sharing ratio?

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05A and B share profits in the ratio 6:5. C is admitted for a 1/11 share of the profits, which A and B sacrifice in the ratio 5:6. What is the new profit-sharing ratio?

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06A and B share profits in the ratio 7:4. C is given \(\frac{3}{11}\) of the total profit, and the remaining profit is shared in the old ratio. What will be A’s new share of profit?

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07Assertion: The new profit sharing ratio always includes all partners. Reason: After admission the new partner shares future profits. Choose the correct option.

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08A and B share profits in the ratio 6:7. C is admitted for a \(\frac{4}{13}\) share of profits, and the remaining profit is divided between A and B in their old ratio. What will be the new profit-sharing ratio?

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09A and B share profits in the ratio 13:7. C is admitted as a partner for a 1/5 share of the profits, and the remaining profit is shared in the old ratio. What will be the new profit-sharing ratio?

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10A and B share profits in the ratio 3:8. C is admitted for a \(2/11\) share of the total profit, acquired from A and B in the sacrificing ratio 4:1. What will be the new profit-sharing ratio?

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11A and B shared profits in (5:7). After admission the new ratio is (7:8:5). What will be the sacrificing ratio of A and B?

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12A and B share profits in the ratio 9:8. C gets a 2/17 share only from A. What will be B’s new share?

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13A and B share profits in the ratio \(6:7\). C is admitted for a \(\frac{1}{13}\) share of profits, which is surrendered by A and B in the ratio \(2:3\). What will be A's new profit-sharing ratio?

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14A and B shared profits in (4:5). The new ratio is (5:6:4). Which old partner's share has increased?

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15A and B previously shared profits in the ratio 4:5. After the admission of a new partner, the new profit-sharing ratio became 7:6:2. Which of the old partners has gained a larger share of profit?

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16A and B share profits in the ratio 14:5. C is admitted for a 3/19 share, and the remaining profit is shared between A and B in their old ratio. What is the new profit-sharing ratio?

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17A and B share profits in the ratio 5:6. C is admitted for a \(\frac{2}{11}\) share of the profits. If A’s new share is \(\frac{4}{11}\), what will be B’s new share?

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18A and B share profits in the ratio 11:9. C is admitted for a 1/5 share of profits, which is sacrificed by A and B in the ratio 3:2. What will be the new profit-sharing ratio?

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19A and B shared profits in (5:3). The new ratio is (6:3:1). From whom did C's share come?

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20A and B shared profits in (5:3). The new ratio is (6:3:1). Which old partner sacrificed?

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21A and B share profits in the ratio 7:3. C receives a 1/10 share from A and B in the sacrificing ratio 1:4. What is the new profit-sharing ratio?

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22In the new profit sharing ratio (17:11:7), what are C's share and the combined share of old partners?

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23A and B share profits in the ratio 9:11. C is admitted for a \(\frac{3}{20}\) share of the total profit, which is sacrificed by A and B in the ratio 2:1. What will be B’s new share?

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24A and B shared profits in (8:7). The new ratio is (9:6:5). What will be the sacrificing ratio of A and B?

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25C’s share is taken from A and B in the ratio 5:4. If C’s share is 3/18, what is A’s sacrifice?

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