In Hilton/Stammbach's A Course in Homological Algebra, they are treating the Ext functor, and they give the following lemma:
He implies (but doesn't say) that the same is not true if we replace equality with isomorphism. But I can't see why it wouldn't be. Do you agree, or have I missed something?

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The full version of the lemma is treated on page 92 of Zimmermann's Representation Theory: A Homological Algebra Approach. It is interesting to note that he uses only the relevant limit properties, so the result holds in any category with a zero object, provided that the relevant kernels exist.