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A and B shared profits in (2:1). After admission the new ratio is (4:1:1). Which partner made the sacrifice?

Answer and explanation

Correct answer: Only B

A's old and new share is (2/3) so A made no sacrifice. B's share fell from (1/3) to (1/6) so B sacrificed.

Related tags

Sacrifice AnalysisNew RatioAdmissionNew Profit Sharing RatioReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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