The ratio in which the old partners agree to give their share of profit in favor of the incoming partner is called:
- ANew Profit Sharing Ratio
- BGaining Ratio
- CSacrificing Ratio
- DOld Ratio
Solution & Step-by-step Explanation
The ratio in which the existing (old) partners surrender or give up a part of their profit share in favor of a newly admitted incoming partner is known as the Sacrificing Ratio. It is calculated as: