Profit and Loss debit balance ₹36000 was shared equally among three including the new partner. In the correct treatment what should be the new partner's share?

Correct answer: Zero

The correct answer is Option A, Zero. A debit balance of the Profit and Loss Account means an old loss of ₹36,000. This loss arose before the admission of the new partner, so only the old partners must bear it in their old profit-sharing ratio. The new partner did not belong to the firm when this loss was incurred and therefore cannot be charged with any part of it. If ₹36,000 were divided equally among three partners, each share would be ₹12,000, but that treatment is incorrect. Option A is correct because the new partner's share is nil. Option B, ₹12,000, is the equal division among three, but it wrongly makes the incoming partner bear an old loss. Option C, ₹18,000, is not the new partner's equal share and has no correct basis here. Option D, ₹36,000, charges the entire old loss to the new partner, which is also wrong. The key rule is: losses or debit balances belonging to the period before admission are adjusted only among the old partners. Memory cue: admission starts a new relationship; do not pass old losses to the incoming partner.