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easyMCQCUET Accountancy 2025 3 June Shift 12026Accountancy
1 mark

In the absence of any information regarding the acquisition of a share in profit of the retiring/deceased partner by the remaining partners, it is assumed that they will acquire his/her share:

  1. A
    Equal Ratio
  2. B
    Old Profit Sharing Ratio
  3. C
    New Profit Sharing Ratio
  4. D
    Future Profit Sharing Ratio

Solution & Step-by-step Explanation

If a partner retires or dies and no details are provided about how the remaining partners acquire the departing partner's share, it is assumed that the remaining partners acquire it in their existing Old Profit Sharing Ratio. Consequently, their gaining ratio and their new profit sharing ratio remain identical to their old mutual proportion.

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In the absence of any information regarding the acquisition of a share in profit of the retiring/deceased partner by the remaining partners, it is assumed that they will acquire his/her share:
A
Equal Ratio
B
Old Profit Sharing Ratio
C
New Profit Sharing Ratio
D
Future Profit Sharing Ratio

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