Question : A and B were partners sharing profits and losses in the ratio of 3: 2. On April 1st 2013, they decided to admit C for 5th share in the profits. They had a reserve of Rs.25,000 which they wanted to show in their new balance sheet. C agreed and the necessary adjustments were made in the books. On October 1st 2013, A met with an accident and died. B and C decided to admit A's daughter F in their partnership, who agreed to bring Rs.2,00,000 as capital. A's share in the reserve on the date of her death will be
Option 1: Rs 25,000
Option 2: Rs 12,000
Option 3: Rs 30,000
Option 4: None of the above
Correct Answer: Rs 12,000
Solution :
Answer =
12,000.
A:B= 3:2; C=$\frac{1}{5}$
let the total profit of the new firm be 1.
C's share= $\frac{1}{5}$
Reamaining share= 1-$\frac{1}{5}$=$\frac{4}{5}$.
A= $\frac{3}{5}$×$\frac{4}{5}$= $\frac{12}{25}$.
B= $\frac{2}{5}$×$\frac{4}{5}$= $\frac{8}{25}$.
C= $\frac{1}{5}$×$\frac{5}{5}$=$\frac{5}{25}$.
Reserve= 25,000.
A's share= 25000×$\frac{12}{25}$= 12,000.
Hence, the correct option is 2.
