P and Q were partners sharing profits in the ratio of 3 : 2 . They admit R and S as new partners. P surrenders 1/3rd of his share in favour of R and Q surrenders 1/4th of his share in favour of S . Calculate the new profit sharing ratio of P , Q , R and S .

Old shares are P = 3/5 and Q = 2/5 . * P surrenders to R : Sacrifice by P = 1/3 × 3/5 = 1/5 New share of P = 3/5 - 1/5 = 2/5 * Q surrenders to S : Sacrifice by Q = 1/4 × 2/5 = 2/20 = 1/10 New share of Q = 2/5 - 1/10 = 4 - 1/10 = 3/10 * Shares of new partners: Share of R = 1/5 Share of S = 1/10 Let's convert all shares to a common denominator of 10 : P = 2/5 = 4/10 Q = 3/10 R = 1/5 = 2/10 S = 1/10 Thus, the new profit sharing ratio is 4 : 3 : 2 : 1 .

P and Q were partners sharing profits in the ratio of 3 : 2 . They admit R and S as new partners. P surrenders 1/3rd of his share in favour of R and Q - Accountancy MCQ Competitive Exams 2026 | ExamTest.live

Home Tests Search Rank Profile

mediumMCQCompetitive Exams2026Accountancy

1 mark

P and Q were partners sharing profits in the ratio of 3 : 2 . They admit R and S as new partners. P surrenders \frac{1}{3} rd of his share in favour of R and Q surrenders \frac{1}{4} th of his share in favour of S . Calculate the new profit sharing ratio of P, Q, R and S .

A $4 : 3 : 2 : 1$
B $5 : 4 : 3 : 2$
C $4 : 4 : 3 : 2$
D $4 : 4 : 3 : 1$

Solution & Step-by-step Explanation

Old shares are P = \frac{3}{5} and Q = \frac{2}{5} . * P surrenders to R : Sacrifice by P = \frac{1}{3} \times \frac{3}{5} = \frac{1}{5} New share of P = \frac{3}{5} - \frac{1}{5} = \frac{2}{5} * Q surrenders to S : Sacrifice by Q = \frac{1}{4} \times \frac{2}{5} = \frac{2}{20} = \frac{1}{10} New share of Q = \frac{2}{5} - \frac{1}{10} = \frac{4 - 1}{10} = \frac{3}{10} * Shares of new partners: Share of R = \frac{1}{5} Share of S = \frac{1}{10} Let's convert all shares to a common denominator of 10 : P = \frac{2}{5} = \frac{4}{10} Q = \frac{3}{10} R = \frac{1}{5} = \frac{2}{10} S = \frac{1}{10} Thus, the new profit sharing ratio is 4 : 3 : 2 : 1 .

Practice this question

Try it yourself before checking the explanation above.

P and Q were partners sharing profits in the ratio of 3 : 2 . They admit R and S as new partners. P surrenders \frac{1}{3} rd of his share in favour of R and Q surrenders \frac{1}{4} th of his share in favour of S . Calculate the new profit sharing ratio of P, Q, R and S .

4 : 3 : 2 : 1

5 : 4 : 3 : 2

4 : 4 : 3 : 2

4 : 4 : 3 : 1

Share This Question

Partnership New Profit Sharing Ratio

Ready for a Full Test?

Practice with timed mock tests and track your performance across Accountancy.

Browse Tests Leaderboard

Solution & Step-by-step Explanation

Practice this question

Share This Question

Related Questions

Ready for a Full Test?

Discussion

P and Q were partners sharing profits in the ratio of 3:2. They admit R and S as new partners. P surrenders 31​rd of his share in favour of R and Q surrenders 41​th of his share in favour of S. Calculate the new profit sharing ratio of P, Q, R and S.

Solution & Step-by-step Explanation

Practice this question

Share This Question

Related Questions

Ready for a Full Test?

Discussion