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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 4 · 25 questions

Practice questions

01The old ratio is (6:4:3). The new partner receives (1/13) share from the second partner and (2/13) share from the third partner. What is the new ratio?

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02A new partner's share is (2/9). Old partners share in (5:4) and the sacrificing ratio is (3:1). What is the new ratio?

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03The old ratio is (1:1). A new partner gets (1/3) share. The first partner sacrifices (1/4) of his own share. How much will the second partner sacrifice?

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04The old ratio was (5:3:2). The new ratio is (2:2:1:1). Which old partner has gained?

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05When a new partner takes (1/5) of an old partner's share rather than (1/5) of total profit, what is the most common mistake?

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06Old partners share in (4:5:6). A new partner takes (1/5) share from the first and third partners in (1:3). What is the new ratio?

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07If old partners share in (2:5) and the new ratio is (3:5:2), what is the sacrificing ratio?

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08Anshu and Bindu are partners sharing profits in the ratio 3:7. Chintan is admitted to the partnership for a 1/4 share of the total profit. If Anshu’s new profit share is 1/5, what will be Bindu’s new profit share?

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09The old ratio is (4:1). A new partner takes (1/5) share and old partners start sharing equally. What is the new ratio?

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10Three partners share in (7:5:4). A new partner receives (3/16) share only from the first partner. What is the correct total base of the new ratio?

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11Old partners share in (3:4:5). A new partner takes (1/6) share. If the first and second sacrifice in their old ratio and the third sacrifices nothing, what is the new ratio?

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12A new partner takes (2/7) share. The old partners' new inter-se ratio is (3:4). What is the complete new ratio?

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13From old ratio (2:3:4), a new partner gets (1/9) share only from the first and second partners in (2:1). What is the new ratio?

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14If old partners share in (13:7) and the new partner gets (3/20) share in the old ratio from them, what is the new ratio?

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15The first and second partners share profits in the ratio 5:2. A third partner is admitted for a \(\frac{1}{7}\) share of profits. If the first partner sacrifices \(\frac{1}{14}\) of the profit, what will be the second partner’s new profit-sharing share?

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16The old ratio is (6:3:1). A new partner takes (1/10) share from the first partner and (1/20) from the second partner. What is his total share and the new ratio?

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17A new partner needs (1/4) share. Old partners share in (3:2). If the second partner's new share must remain (1/3), how much will the first partner sacrifice?

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18The old ratio is (9:1). A new partner takes (1/5) share and old partners' new ratio becomes (7:1). What is the complete new ratio?

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19If old partners share in (5:3) and give (1/4) share to the new partner equally, what will be the sacrificing ratio and new ratio?

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20The old ratio is (7:5:3). A new partner takes (1/6) share. If the first two partners' new shares are made equal and the third partner's share remains unchanged, what is the new ratio?

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21Ajay and Bhavesh share profits in (5:4). Chetan is admitted for (1/6) share and the remaining profit is shared in the old ratio. What is the new ratio?

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22Rahul, Sameer and Tanay share profits in the ratio 7:5:3. Mohit is admitted for a 1/5 share of profits, and the old partners sacrifice in their old ratio. What is the new profit-sharing ratio?

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23Old partners' shares are (1/2,1/3,1/6). A new partner gets (1/5) share from the first and third partners in (3:1). What is the new ratio?

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24Amit and Nikhil share in (7:5). A new partner takes (1/4) share. The old partners' new ratio is fixed at (2:1). What is the complete new ratio?

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25The old ratio is (5:4:1). The new ratio is (3:3:2:2). Which old partner has gained?

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