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X, Y and Z are partners sharing Profits and Losses in the ratio of 8 : 7 : 5. Z retires and his share is taken equally by X and Y. Find the new profit sharing ratio.
  • a)
    19 : 21
  • b)
    7 : 5
  • c)
    5 : 7
  • d)
    21 : 19
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
X, Y and Z are partners sharing Profits and Losses in the ratio of 8 :...
Given:
- X : Y : Z = 8 : 7 : 5
- Z's share is taken equally by X and Y

To find:
- New profit sharing ratio

Solution:
1. Let's assume that Z's share was worth Rs. 5x.
2. So, the total profit before Z's retirement = 8x + 7x + 5x = 20x
3. After Z's retirement, his share of Rs. 5x is divided equally between X and Y. So, each of them gets Rs. 2.5x.
4. Now, X's share = 8x + 2.5x = 10.5x
Y's share = 7x + 2.5x = 9.5x
5. Therefore, the new profit sharing ratio of X and Y = 10.5x : 9.5x = 21 : 19

Hence, the correct answer is option D (21 : 19).
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Community Answer
X, Y and Z are partners sharing Profits and Losses in the ratio of 8 :...
D is right answer as X =8/20+5/40=21/40 Y = 7/20+5/40=19/40 new ratio = 21:19
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X, Y and Z are partners sharing Profits and Losses in the ratio of 8 : 7 : 5. Z retires and his share is taken equally by X and Y. Find the new profit sharing ratio.a)19 : 21b)7 : 5c)5 : 7d)21 : 19Correct answer is option 'D'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about X, Y and Z are partners sharing Profits and Losses in the ratio of 8 : 7 : 5. Z retires and his share is taken equally by X and Y. Find the new profit sharing ratio.a)19 : 21b)7 : 5c)5 : 7d)21 : 19Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X, Y and Z are partners sharing Profits and Losses in the ratio of 8 : 7 : 5. Z retires and his share is taken equally by X and Y. Find the new profit sharing ratio.a)19 : 21b)7 : 5c)5 : 7d)21 : 19Correct answer is option 'D'. Can you explain this answer?.
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