Minni, Mickey and Mouse are partners in a firm sharing profits and losses in the ratio 3:2:1. The firm incurred a net loss of 20,000 for the year ended 31 st March, 2019. In addition to this, Minni and Mouse have guaranteed minimum profits of 10,000 to Mickey. What will be the final share of profit or loss of the partners?

Solution:
Minni share of loss = (3/6) × 20,000
= 10,000
Mickey share of loss = (2/6) × 20,000
6666
Mouse share of loss = (1/6) × 20,000
3334
But there is minimum profit given to Mickey = 10,000
So, total amount which will be 10,000 + 6666 = 16,666 which is adjusted by mini and mouse in the profit sharing ratio 3 : 1.
amount adjusted as guaranted by mini = (3/4) × 16,666
= 12499.5
Amount adjusted as guaranted by Mickey = (1/4) × 16666
= 4166.5
final loss to mini = 10,000 + 12499.5
22,499.5
Final profit to Mickey = 10,000
Final loss to mouse = 3334 + 4166.5
7500.5

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