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A,B and C were partners in a firm sharing profits in the ratio 6:5:4 and c reteiredand his share is taken up equally by a and b . find the npsr.

Dear Student

 
Calculation of New PSR
Particulars A B C  
Old Ratio   2/5   1/3   4/15  
         
C's Share taken by A and B   2/15   2/15    
  (4/15 x 1/2) (4/15 x 1/2)    
         
New Share of A and B   8/15   7/15    
  (6/15 + 2/15) (5/15 + 2/15)    
         
Therefore New PSR   8/15   7/15 0       

New PSR between A:B = 8:7


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  • 2
View Full Answer
c's share = 1/2 of 4/15 = 2/15 + 2/15 = 4/15
A's new share = 6/15 + 2/15 = 8/15
B's new share = 5/15 + 2/15 = 7/15
therefore, npsr = 8:7
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                                                   A     B       C
a)OLD RATIO                       6/15    5/15     4/15   
b)SHARE FROM C               2/15    2/15( i.e 1/2 of 4/15)
new profit sharing ratio[a+b]   8/15   7/15
npsr= 8:7
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