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Meera and Neelam share profits in the ratio 5:4. Om is admitted for a 1/9 share, which is given by them in their old ratio. What is the new ratio?

Answer and explanation

Correct answer: Meera:Neelam:Om = 40:32:9

Om receives 1/9 of the total profit, so Meera and Neelam together retain 8/9. They sacrifice this one-ninth in their old ratio, which means their retained shares remain proportional to 5:4. Meera’s new share is (8/9)×(5/9) = 40/81, and Neelam’s new share is (8/9)×(4/9) = 32/81. Om’s share is 1/9 = 9/81. Therefore, the new ratio is 40:32:9, making option A correct. Option B fails to reduce the old partners’ shares. Option C uses the wrong retained fraction, and option D gives both old partners more than their proper shares. The three parts total 81, confirming that the entire profit is distributed.

Related tags

New Profit Sharing RatioPartner AdmissionOld RatioAccountancyNew Profit Sharing RatioReconstitution Admission Of A PartnerClass 12 Mcq

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