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Question : Sara, Sita and Meena were partners in a firm sharing profits and losses in the ratio of 2: 2: 1. Sara died on 30th June, 2017, whereas the firm closes its books on 31st March every year. According to their Partnership Deed Sara's representatives would be entitled to get share in the interim profits of the firm calculated on sales basis. Sales and profit for the year 2016-17 were Rs.6,00,000 Rs.1,80,000 respectively and sales in the year 2017-18, till the date of her death amounted to Rs.1,20,000. Sara's share of interim profit will be

Option 1: Rs 14,000

Option 2: Rs 14,600

Option 3: Rs 14,400

Option 4: None of the above.


Team Careers360 21st Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: Rs 14,400


Solution : Answer = Rs 14,400

Profit= 1,80,000
Sales= 6,00,000
Profit=$\frac{1,80,000}{6,00,000} \times 1,20,000$= 36,000.

Sara's share of profit= 36,000×$\frac{2}{5}$= 14,400.
Hence, the correct option is 3.

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