, , and were partners in a firm with a profit-sharing ratio of . retires and the new profit-sharing ratio between and is settled at . Calculate the gaining ratio of the remaining partners.
- A3:8
- B1:3
- C7:2
- D1:2
Solution & Step-by-step Explanation
The formula for calculating the Gaining Share of a partner is:
Given data:\begin{itemize}\item Old Ratio of , meaning:
\item New Ratio of and , meaning:
\end{itemize}Let's compute the gaining shares:\begin{itemize}\item \textbf{For A:}
\item \textbf{For C:}
\end{itemize}Comparing their gains:
Given data:\begin{itemize}\item Old Ratio of , meaning:
\item New Ratio of and , meaning:
\end{itemize}Let's compute the gaining shares:\begin{itemize}\item \textbf{For A:}
\item \textbf{For C:}
\end{itemize}Comparing their gains: