Video narration
In Class XII partnership accounts, “new ratio” usually means the new profit-sharing ratio after a partner is admitted. Start with the old ratio of the existing partners. Suppose A and B share profits in a:b, and a new partner C is admitted for a share of x. Step one: convert A and B’s old ratio into fractions of 1: A = a/(a+b), B = b/(a+b). Step two: C’s new share is x. Step three: the remaining profit for old partners is 1 − x, shared in the old proportion. So A’s new share = (a/(a+b)) × (1 − x), and B’s new share = (b/(a+b)) × (1 − x). Now write A : B : C using these three shares and, if needed, multiply to remove denominators. That final simplified ratio is the new profit-sharing ratio.