CA Foundation Exam > CA Foundation Questions > ?A, B and C are partners with profits sharing...
Start Learning for Free
A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.?
Most Upvoted Answer
?A, B and C are partners with profits sharing ratio 4:3:2. B retires a...
And C decide to share the future profits equally, find the new profit sharing ratio of A and C.
Initially, the profit sharing ratio of A, B, and C is 4:3:2.
When B retires, the new profit sharing ratio between A and C will be equal. Let's assume this ratio to be x: x.
The total profit sharing ratio between A and C is x+x = 2x.
The total profit sharing ratio before B's retirement is 4+3+2 = 9.
So, we can set up the following equation:
2x = 9
Solving this equation, we get:
x = 9/2
Therefore, the new profit sharing ratio between A and C is 9/2:9/2 or 9:9.
However, we need to find the new profit sharing ratio of A and C after considering the Goodwill of Rs. 10,800.
When B retires, the Goodwill is shared between A and C in their profit sharing ratio.
The total profit sharing ratio after sharing the Goodwill is 9+9 = 18.
The share of A in the Goodwill is (9/18) * 10,800 = Rs. 5,400.
The share of C in the Goodwill is also (9/18) * 10,800 = Rs. 5,400.
So, the new profit sharing ratio of A and C, considering the Goodwill, is 9:9 + 5,400:5,400.
Simplifying this ratio, we get:
9:9 + 5,400:5,400
9:9 + 1:1
9:10
Therefore, the new profit sharing ratio of A and C, after considering the Goodwill, is 9:10.
Initially, the profit sharing ratio of A, B, and C is 4:3:2.
When B retires, the new profit sharing ratio between A and C will be equal. Let's assume this ratio to be x: x.
The total profit sharing ratio between A and C is x+x = 2x.
The total profit sharing ratio before B's retirement is 4+3+2 = 9.
So, we can set up the following equation:
2x = 9
Solving this equation, we get:
x = 9/2
Therefore, the new profit sharing ratio between A and C is 9/2:9/2 or 9:9.
However, we need to find the new profit sharing ratio of A and C after considering the Goodwill of Rs. 10,800.
When B retires, the Goodwill is shared between A and C in their profit sharing ratio.
The total profit sharing ratio after sharing the Goodwill is 9+9 = 18.
The share of A in the Goodwill is (9/18) * 10,800 = Rs. 5,400.
The share of C in the Goodwill is also (9/18) * 10,800 = Rs. 5,400.
So, the new profit sharing ratio of A and C, considering the Goodwill, is 9:9 + 5,400:5,400.
Simplifying this ratio, we get:
9:9 + 5,400:5,400
9:9 + 1:1
9:10
Therefore, the new profit sharing ratio of A and C, after considering the Goodwill, is 9:10.
Attention CA Foundation Students!
To make sure you are not studying endlessly, EduRev has designed CA Foundation study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CA Foundation.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.?
Question Description
?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.?.
?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.?.
Solutions for ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? defined & explained in the simplest way possible. Besides giving the explanation of
?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.?, a detailed solution for ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? has been provided alongside types of ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? theory, EduRev gives you an
ample number of questions to practice ?A, B and C are partners with profits sharing ratio 4:3:2. B retires and Goodwill Rs. 10,800 shown in books of account. If A & C shares profits of B in 5:3, then find the new profit sharing ratio.? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up
within 7 days!
within 7 days!
Takes less than 10 seconds to signup