Question : Ram, Hari and Chandan share the profits and losses of the firm equally. Hari retires from business and his share is purchased by Ram and Chandan in the ratio of 2: 3. New profit sharing ratio between Ram and Chandan respectively would be :

Option 1: 1:1

Option 2: 2:2

Option 3: 7:8

Option 4: 3:5


Team Careers360 6th Jan, 2024
Answer (1)
Team Careers360 21st Jan, 2024

Correct Answer: 7:8


Solution : Answer = 7:8

Ram= $\frac{1}{3}$
Hari= $\frac{1}{3}$
Chandan= $\frac{1}{3}$

Ram takes= $\frac{1}{3} \times \frac{2}{5}=\frac{2}{15}$
Chandan takes= $\frac{1}{3} \times \frac{3}{5}=\frac{3}{15}$

New profit sharing ratio
Ram= $\frac{1}{3}+\frac{2}{15}=\frac{5+2}{15}=\frac{7}{15}$
Chandan= $\frac{1}{3}+\frac{3}{15}=\frac{5+3}{15}=\frac{8}{15}$

N.P.S.R= 7:8
Gaining ratio= 2:3
Hence, the correct option is 3.

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