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Commission and Brokerage

A and B are p...

Question

A and B are partners in a firm and are sharing in the ratio of $3 : 2$ . C is admitted for $1 / 5$ share of profit and brings $R s . 10, 000$ as capital. The adjusted capital of B will be ____________.

R s . 10, 000

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R s . 12, 000

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R s . 14, 000

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R s . 16, 000

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Solution

The correct option is D $R s . 16, 000$
C is admitted in the business for 1/5 share and contributing Rs.10000
Based on this, total capital of the firm will be i.e. Rs.100005
Total Capital of the firm will be Rs.50000.

New Ratio of the existing partners will be :

C's share is 1/5, the balance share available for A & B will be 1- 1/5 =4/5

A's new ratio will be = old ratio available balance ratio
=3/5 * 4/5
=12/25
B's new ratio will be= old ratio * available balance ratio
= 2/5 * 4/5
= 8/25
New partnership ratio will be = 12:8:5

Therefore the adjusted capital of A & B is as under:

A - Rs.50000/25*12 =Rs.24000
**B - Rs.50000/25*8 =Rs. 16000**
C- Rs.50000/25*5 = Rs.10000

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A and B are partners in a firm and are sharing in the ratio of 3:2. C is admitted for 1/5 share of profit and brings Rs.10,000 as capital. The adjusted capital of B will be ____________.

A and B are partners in a firm and are sharing in the ratio of $3 : 2$ . C is admitted for $1 / 5$ share of profit and brings $R s . 10, 000$ as capital. The adjusted capital of B will be ____________.