Question - Profit sharing ratio

A B and C are partner in ratio 3:2:1. D is admitted in the firm for the 1/6th share in profits. C would retain his original share. The new profit sharing ratio between A,B,C & D will be.

 

How to calculate the above question.

Regards

Santosh

 

Replies (6)

Let  new share of firm be 1

D's Share is 1/6 therefore remaining share of firm is

1 - 1/6 = 5/6

C's Share = 1/6 or 6/36

Remaining share 5/6 - 1/6 = 4/6 

A's share = 4/6 * 3/6= 12/36

B'share = 4/6 * 2/6 = 8/36

A:B:C:D = 12:8:6:6 or   6:4:3:3

Agree with Rinssss G.

I think the answer is slightly incorrect.

A's share will be 4/6 * 3/5 = 12/30

B's share will be 4/6 * 2/5 = 8/30

(C's share is 1/6 or 5/30; D's share is 1/6 or 5/30)

So, the final ans will be 12:8:5:5.

(In the ratio 6:4:3:3, C's and D's share is 3/16 (each), which is certainly not 1/6.

But, in 12:8:5:5, C's and D's share is 5/30 (each), or 1/6.)

Please let me know if my reasoning is correct.

Originally posted by : Rajat Bajaj
Agree with Rinssss G.

Agree with Mr.Romil.

C & D take 33.33 % share together.

So the balance 66.666 % has to be shared amongst A & B in the old ratio of 3 : 2.

Thus new share is A-40 %

                              B-26.66%

                              C-16.67%

                              D-16.67%

Here is the calculation.

Partners               Old Ratio                       Workings                          New Ratio

    A                        3/6 *5/5                        - 1/6 *3/5                              12/30

    B                        2/6 *5/5                        - 1/6 *2/5                                8/30

    C                        1/6 *5/5                                -                                      5/30

    D                            -                               + 1/6 *5/5                                5/30

 

New Ratio = A : B : C : D =>  12 : 8 : 5 : 5

Those who are unable to solve it, kindly brush up their concepts.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
05 October 2026
Senior Accountant

Vision IT Peripherals Pvt Ltd

Mumbai

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
30 October 2026
Asst Manager Accounts

Goodwin Pumps India Pvt Ltd

Chengalpattu

CA Inter

View Details
Company
ARTICLESHIP 28 October 2026
Article assistants

Shyam S Gupta and Company

New Delhi

CA Inter

View Details
Company
19 October 2026
Accountants/Articles (Freshers/Experienced)

ADY & CO.

New Delhi

Graduate (Any)

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details
Company
31 October 2026
Accountants

sankaran and krishnan

New Delhi

B.Com

View Details