Match List I with List II regarding partnership parameters:List IA. Interest on capitalB. Gaining RatioC. Sacrificing ratioD. Revaluation of Assets and LiabilitiesList III. Admission of partnerII. Profit/Loss in the old profit sharing ratioIII. Continuing partnersIV. When partnership deed specifically provides for itChoose the correct answer from the options given below:
- AA-I, B-II, C-III, D-IV
- BA-III, B-IV, C-I, D-II
- CA-II, B-III, C-IV, D-I
- DA-IV, B-III, C-I, D-II
Solution & Step-by-step Explanation
Matching the partnership concepts with their relevant contextual scenarios:A. Interest on capital: Allowed only IV. when the partnership deed specifically provides for it.B. Gaining Ratio: Computed for III. Continuing partners upon retirement/death of a partner.C. Sacrificing ratio: Computed upon the I. Admission of a partner.D. Revaluation of Assets and Liabilities: The resulting profit/loss is shared by partners in II. the old profit sharing ratio.This results in: A-IV, B-III, C-I, D-II.