Question 06 Chapter 6 of +2-Part-1
6. (Different Cases of NPS) X, Y and Z are partners sharing profits and losses in the ratio of ½ : 3/10 : 1/5.Calculate the new profit sharing ratio and gaining ratio (a) if X retires (b) if Y retires (c) if Z retires.
The solution of Question 06 Chapter 6 of +2 Part-1: –
(a) If X retires
| A’s gain | = | 1 | : | 3 | : | 1 |
| 2 | 10 | 5 |
| Rearranging the ratio to common denominator 10 the ratio is | = | 5 | : | 3 | : | 2 |
| 10 | 10 | 10 |
On X’s retirement his 5/10 share will be distributed among Y & Z in their
relative ratio , i.e., 3 : 2
New Profit sharing Ratio of Y & Z = 3 : 2
Gaining ratio = New share – old share
| Y’s gain | = | 3 | – | 3 |
| 5 | 10 | |||
| = | 3 | |||
| 10 |
| Z’s gain | = | 2 | – | 2 |
| 5 | 10 | |||
| = | 2 | |||
| 10 |
Gaining ratio = 3 : 2
(b)If Y retires
On Y’s retirement his 3/10 share will be distributed among X & Z in their relative ratio , i.e., 5 : 2
New Profit sharing Ratio of X & Z = 5 : 2
Gaining ratio = New share – old share
| X’s gain | = | 5 | – | 5 |
| 7 | 10 | |||
| = | 15 | |||
| 70 |
| Z’s gain | = | 2 | – | 2 |
| 7 | 10 | |||
| = | 6 | |||
| 70 |
| Gaining ratio | = | 5 | : | 6 |
Comment if you have any questions.
Also, Check out the solved question of previous Chapters: –
Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement
Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication
