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A and B share profits in the ratio of 3 : 2. They agreed to admit C on the condition that A will sacrifice [latex]\frac{3}{25}[/latex]th of his share of profit in favour of C and B will sacrifice [latex]\frac{1}{25}[/latex]th of his profits in favour of C. The new profit sharing ratio will be :
12 : 9:4
3 : 2 : 4
66 : 48 : 11
48 : 66 : 11
- A and B share profits in the ratio 3:2. Their individual shares are 3/5 and 2/5 respectively.
- A sacrifices \( \frac{3}{25} \) of his share:
$$
\text{A's sacrifice} = \frac{3}{25} \times \frac{3}{5} = \frac{9}{125}
- B sacrifices \( \frac{1}{25} \) of his share:
\text{B's sacrifice} = \frac{1}{25} \times \frac{2}{5} = \frac{2}{125}
- C's total share = A's sacrifice + B's sacrifice = \( \frac{9}{125} + \frac{2}{125} = \frac{11}{125} \)
- New shares:
- A's new share = \( \frac{3}{5} - \frac{9}{125} = \frac{66}{125} \)
- B's new share = \( \frac{2}{5} - \frac{2}{125} = \frac{48}{125} \)
- C's share = \( \frac{11}{125} \)
- The new profit sharing ratio is 66:48:11.
By: santosh ProfileResourcesReport error
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