new profit sharing ratio. How much capital will be brought by Mahesh? (A) ?43,750 (C) ?47,250 102000 (B) ?45,000 (D) ?48,000 (C.S. Foundation, June 2013) A and B are in partnership sharing profits in the ratio of 3 : 2. They take C as a new partner. Goodwill of the firm is valued at ?3,00,000 and C brings ?30,000 as his share of goodwill in cash which is entirely credited to the Capital Account of A. New profit sharing ratio will be : (A) 3 : 2 : 1 (B) 6 : 3 : 1 (D) 4 : 5 : 1 (C) 5 : 4 : 1 X and Y are partners sharing profits in the ratio of 4 : 3. Z is admitted for 1/5th share and he brings in ?1,40,000 as his share of goodwill in cash of which ?1,20,000 is credited to X and remaining amount to Y. New profit sharing
Added by Hugo H.
Close
Step 1
Determine the current profit sharing ratio: This can be found by dividing the current profit share of each partner by the total profit share of all partners. For example, if Partner A receives $20,000 and Partner B receives $30,000 out of a total profit share of Show more…
Show all steps
Your feedback will help us improve your experience
Aya Bianca Into and 72 other Principles of Accounting educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Recommended Videos
If selling price is doubled , the profit triples . Find the profit percent
Nick J.
Find the common ratio. $$6.275,0.6275,0.06275, \ldots$$
Sequences, Series, and Combinatorics
Geometric Sequences and Series
Find the common ratio. $$6.275,0.6275,0.06275, \dots$$
Recommended Textbooks
Horngren’s Cost Accounting
Cost Accounting A Managerial Emphasis
Principles of Accounting Volume 1: Financial Accounting
Watch the video solution with this free unlock.
EMAIL
PASSWORD