Go AD-FREE with CAclubindia Pro and Daily WhatsApp Updates. Subscribe Now!

Accounts Query

535 views 3 replies

Souniya

IPCC

110 Points Joined February 2011

Amit,Rohith & Sumit are partners sharing sharing profit & losses in the ratio of 5:4:3. Sumit retries and if Amit & Rohit shares profit of Sumit in 4:3, the NPSR will be?

Replies (3)

Guest

Sumit's share of the profit is 3/(5+4+3) = 3/12 = 1/4. i.e divide 4:3 into Amit and Rohit. Amit gets 4/7 of Sumit's share 1/7 of the total profit (in addition to the amount he already got). Rohit gets (3/(4+3)) = 3/7 of Sumit's share, (3/7)(1/4) = 3/28 of the total profit (in tallying to the amount s/he already got).

Amit's new share is 5/(5+4+3) + 1/7 = 5/12 + 1/7 = (35+12)/84 = 47/84 of the total profit.

Rohit's new share is 4/(5+4+3) + 3/28 = 4/12 + 3/28 = 1/3 + 3/28 = (28+9)/84 = 37/84 of the total profit.

The new profit sharing ratio is (47/84):(37/84) = 47:37.