Multiple choice

A and B are partners sharing in 3 : 2 having capital of Rs. 50,000 each. C is a new partner who is required to bring his share of capital of Rs. 1,00,000. If the capital of old partners is to be adjusted according to the contribution of C, what amount should be brought by A?

  1. Rs. 30,000

  2. Rs. 50,000

  3. Rs. 3,00,000

  4. Rs. 70,000
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Total capital of new firm should be 1,00,000 * 3/1, i.e. Rs. 3,00,000 which should be shared by A, B and C according to their ratio. Thus, A should have capital of Rs. 1,20,000 and he should bring 1,20,000 - 50,000, i.e. Rs. 70,000.

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