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Partners A and B are sharing profits and losses in the ratio of 3:1. Partners agreed to admit C into the firm for 1/5th share
Partners A and B are sharing profits and losses in the ratio of 3:1. Partners agreed to admit C into the firm for 1/5th share of future profits. The building is revalued at RO. 120,000 from 100,000, the stock is revalued at RO. 21,500 from RO. 30,000 and provision for bad debts is made at 5% on RO. 70,000. The revaluation profits of the partners are
A. RO 6,000 and RO. 2,000
B. RO 2,000 and RO. 6,000
C. RO 4,000 and RO. 4,000
D. RO. 5,000 and RO. 3,000
Please I need a specific answer I want to know how do you get the answer by detail
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