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Question
Sandeep and Navdeep are partners in a firm sharing profits in 5:3 ratio. They admit C into the firm and the new profit sharing ratio was agreed at 4:2:1. Calculate the sacrificing ratio?
Solution
Old Ratio = Sandeep : Navdeep
= 5 : 3
= `5/8 : 3/8`
New Ratio = Sandeep : Navdeep : C
= 4 : 2 : 1
= `4/7 : 2/7 : 1/7`
Sacrificing Ratio = Old Ratio − New Ratio
Sandeep = `5/8 - 4/7 = [ 35 - 32]/56 = 3/56`
Navdeep = `3/8 - 2/7 = [ 21 - 16]/56 = 5/56`
Sacrificing Ratio = Sandeep : Navdeep
= `3/56 : 5/56`
= `3 : 5`
Note: As solution sacrificing ratio is 3:5,. However answer given the book is different.
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