# Question 01 Chapter 5 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 01 Chapter 5 of +2-A

1. X,Y and Z are partners sharing profits and losses in the ratio of 5 : 3 : 2. They admit A into partnership and give him 1/5th share of profits. Find the new profit-sharing ratio.

The solution of Question 01 Chapter 5 of +2-A

 Old Ratio of X, & Y = 5 : 3 : 3 A is admitted for 1/5 share of profit

Let the total share of the business = 1
Remaining share of X,Y & Z after A’s Admission = Total Share – A’s Share

 Remaining share = 1 – 1 4
 = 5 – 1 5
 = 4 5

To Calculate to New Ratio distribute the remaining share in the old ratio of old partners’
New Ratio = Combined share of X, Y and Z X Old Ratio

 X’s New Ratio = 4 X- 5 5 10
 = 20 50

 Y’s New Ratio = 4 X 3 5 10
 = 12 50

 Z’s New Ratio = 5 X 2 10 10
 = 8 50

 A’s New Ratio = 1 X 10 5 10
 = 10 50

 New Profit sharing Ratio between X, Y, Z, and A = 20 : 12 : 8 : 10 = 10:   6 :  4 :   5

### T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
• Chapter No. 3 – Goodwill: Nature and Valuation
• Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 – Admission of a Partner
• Chapter No. 6 – Retirement/Death of a Partner
• Chapter No. 7 – Dissolution of a Partnership Firm

### T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 1 – Financial Statements of a Company
• Chapter No. 2 – Financial Statement Analysis
• Chapter No. 3 – Tools of Financial Statement Analysis – Comparative Statements and Common- Size Statements
• Chapter No. 4 – Accounting Ratios
• Chapter No. 5 – Cash Flow Statement