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Reena and Meena share profits in the ratio 11:9. Teena is admitted for a 2/11 share of the profits, and the remaining profit is distributed in the old ratio. What will be the new profit-sharing ratio?

Answer and explanation

Correct answer: 99:81:40

Teena receives 2/11, so the share left for the old partners is 1 − 2/11 = 9/11. Distributing this in the old ratio 11:9 gives Reena (9/11) × (11/20) = 9/20 = 99/220 and Meena (9/11) × (9/20) = 81/220. Teena’s share is 2/11 = 40/220. Therefore, the new ratio is 99:81:40. Option B is incorrect because it treats 2/11 directly as a ratio term instead of allocating the remaining profit in the old ratio. Exam tip: find the remaining share first, then distribute it according to the old ratio.

Related tags

New Profit Sharing RatioAdmission Of PartnerRemaining ProfitOld RatioPartnership AccountsReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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