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A B C D share profits in 3:3:2:2. D retires and A B C acquire his share in 1:2:1. What will be the simplified new ratio?

Answer and explanation

Correct answer: 7:8:5

D share of 2/10 is divided in 1:2:1 so A gets 1/20 B gets 1/10 and C gets 1/20. New shares are 7/20 8/20 5/20 so the ratio is 7:8:5.

Related tags

Four PartnersRetirementSpecified AcquisitionNew RatioNew RatiosReconstitution Retirement Or Death Of A PartnerAccountancyClass 12 Mcq

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