Question

Varsha, Aryan and Nimit were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Varsha retired and surrendered 1/3rd of her share in favour of Aryan and the remaining share in favour of Nimit. The new profit sharing ratio between Aryan and Nimit will be :

• A. 2 : 1
• B. 8 : 7
• C. 1 : 2
• D. 1 : 1

Hint:

Always split the outgoing partner’s share as per given ratio, then add the gain to the existing shares of continuing partners.

Answer 1

The Correct Option is B

Varsha’s share = \( \frac{2}{5} \)
→ 1/3 to Aryan = \( \frac{1}{3} \times \frac{2}{5} = \frac{2}{15} \)
→ 2/3 to Nimit = \( \frac{2}{3} \times \frac{2}{5} = \frac{4}{15} \) New shares: - Aryan = \( \frac{2}{5} + \frac{2}{15} = \frac{8}{15} \) - Nimit = \( \frac{1}{5} + \frac{4}{15} = \frac{7}{15} \) New Ratio = 8 : 7