Gori and Sori share profits in the ratio of 3:2. Hori was admitted as a partner who gets a \(\frac{1}{5}\) share, which Hori acquires \(\frac{3}{20}\)from Gori and \(\frac{1}{20}\) from Sori. The new profit sharing ratio of Gori, Sori, and Hori would be:

Question

Emily, Farida and Gauri were partners in a firm sharing profits and losses in the ratio of 4:3:1. Farida was guaranteed Rs 35,000 as her share in the profits in the firm. Any deficiency arising on that account was to be met by Emily. The firm earned a profit of Rs 80,000 for the year ended 31st March 2024. The profit credited to Farida's capital account was:

Answer 1

1. Initial Profit Sharing Ratio (Gori and Sori): Gori's share = \( \frac{3}{5} \), Sori's share = \( \frac{2}{5} \).
2. Hori's Share Calculation: Hori receives a \( \frac{1}{5} \) share, equivalent to \( \frac{4}{20} \). This share is composed of \( \frac{3}{20} \) from Gori and \( \frac{1}{20} \) from Sori.
3. New Share Calculation:
Gori's New Share: \( \frac{3}{5} - \frac{3}{20} = \frac{12}{20} - \frac{3}{20} = \frac{9}{20} \)
Sori's New Share: \( \frac{2}{5} - \frac{1}{20} = \frac{8}{20} - \frac{1}{20} = \frac{7}{20} \)
Hori's Share: \( \frac{1}{5} = \frac{4}{20} \)
4. New Profit Sharing Ratio (Gori, Sori, Hori):
New Ratio = Gori's Share : Sori's Share : Hori's Share
Expressed as a common ratio: Gori : Sori : Hori = 9 : 7 : 4

Gori and Sori share profits in the ratio of 3:2. Hori was admitted as a partner who gets a \(\frac{1}{5}\) share, which Hori acquires \(\frac{3}{20}\)from Gori and \(\frac{1}{20}\) from Sori. The new profit sharing ratio of Gori, Sori, and Hori would be:

The Correct Option is A

Solution and Explanation

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