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Mona and Sona share profits in the ratio 3:7. Radha is admitted for a 1/5 share, and the balance is shared by Mona and Sona in their old ratio. What is the new ratio?

Answer and explanation

Correct answer: Mona:Sona:Radha = 12:28:10

The governing concept is that the incoming partner’s share is deducted from the whole profit first, and the remainder is distributed among the old partners in their old ratio. Radha receives 1/5, so 4/5 remains for Mona and Sona. Their old ratio is 3:7, whose total is 10. Mona receives (4/5) × (3/10) = 12/50, and Sona receives (4/5) × (7/10) = 28/50. Radha’s 1/5 equals 10/50. Thus the new ratio is 12:28:10, so option A is correct. Option B fails to reduce the old shares, while C and D do not distribute the remaining 4/5 in the ratio 3:7.

Related tags

AdmissionNew-Profit-Sharing-RatioOld-RatioPartnershipNew Profit Sharing RatioReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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