passwella.
Menu

JAMB Principles of Accounts 2009 Question 38

Question 38

Partnership Admission, Retirement and Dissolution

Sule and Ahmad are in partnership sharing profits and losses equally. If Khadija is admitted as a new partner to take ⅕th as her share, what is the new profit or loss sharing ratio?

  1. A.Sule ⅓, Ahmad ⅓ and Khadija ⅓
  2. B.Sule ⅕, Ahmad ⅕ and Khadija ⅗
  3. C.Sule ⅖, Ahmad ⅖ and Khadija ⅕
  4. D.Sule ⅖, Ahmad ⅕ and Khadija ⅖
Show the answer and explanation

Answer: C (Sule ⅖, Ahmad ⅖ and Khadija ⅕)

Explanation

Khadija takes ⅕, leaving ⅘ shared equally: Sule ⅖ and Ahmad ⅖.