Question : When goodwill existing in the books is written off at the time of admission of a partner it is transferred to Partners' Capital Accounts in their

Option 1: Old profit-sharing ratio

Option 2: New profit-sharing ratio

Option 3: Sacrificing ratio

Option 4: Gaining ratio

Question :

Which of the following statement is correct?

Option 1:

Goodwill at the time of retirement of a partner is credited to remaining Partners’ Capital Accounts in sacrificing ratio.

Option 2:

Goodwill at the time of retirement of a partner is credited to remaining Partners’ Capital Accounts in gaining ratio.

Option 3: Goodwill at the time of retirement of a partner is debited to remaining Partners' Capital Accounts in sacrificing ratio.

Option 4:

Goodwill at the time of retirement of a partner to the extent of retiring Partner's Share is debited to remaining Partners’ Capital Accounts in gaining ratio.

Question : Sacrificing ratio is calculated because: 

Option 1: Revaluation Account profit can be credited to sacrificing partners 

Option 2: Goodwill brought in by the incoming partner can be credited to the new partner 

Option 3: Goodwill brought in by the incoming partner can be credited to the sacrificing partners

Option 4:  Both (1) and (3) 

Question : At the time of reconstitution of the firm by way of change in profit sharing ratio/ admission of a partner/retirement of a partner/death of a partner, Gaining partners compensates the sacrificing partner by paying a proportionate amount of

Option 1: Goodwill

Option 2: Capital 

Option 3: Both 1 and 2

Option 4: Either 1 and 2

Question : In the event of change in profit-sharing ratio, profit and loss (credit balance) existing in the Balance Sheet is transferred to Capital Accounts of partners in their

Option 1: Sacrificing ratio

Option 2: Gaining ratio

Option 3: Old profit-sharing ratio

Option 4: New profit-sharing ratio