Question : Choose which of the following statements is correct in relation with sacrifice ratio.

Option 1: Sacrificing Ratio is the ratios in which one or more partners of the firm forego, i.e., sacrifice their profit share(s) in favor of one or more partners of the firm.

Option 2: Sacrificed Profit Share = Old Profit Share - New Profit Share

Option 3: Both 1 and 2

Option 4: All of the above 

Question : Which of the following statements is incorrect?

Option 1: New Profit-sharing Ratio among remaining or continuing partners is same as their Old Profit-sharing Ratio.

Option 2: Gaining Ratio of remaining or continuing partners is same as their Old Profit-sharing Ratio.

Option 3: Gaining ratio is the ratio in which the remaining partners take the outgoing (retired or deceased) partner's share.

Option 4: None of the above

Question : Which of the following statements is false?

Option 1: New Profit-share = Existing (Old) Profit-share + Profit Share taken of Deceased Partner

Option 2: Gaining ratio = new ratio – old ratio

Option 3: New ratio = old ratio + sacrificing ratio 

Option 4: None of the above

Question : Which of the following statements is false?

Option 1: New Profit-share = Existing (Old) Profit-share + Profit Share taken of Deceased Partner

Option 2: Gaining ratio = new ratio – old ratio

Option 3: New ratio = old ratio + sacrificing ratio 

Option 4: None of the above

Question : Hari, Mohan and Sohan are partners sharing profit and losses in the ratio of 5:3:2.  Mohan died. His share  of profit  is to be taken by Hari and sohan in the ratio of 2:1. Calculate the new profit-sharing ratio and also calculate the gaining ratio

Option 1: New ratio 7:3 and Gaining ratio 2:1

Option 2: New ratio 7:3 and Gaining ratio 2:1

Option 3: Both A and B are correct

Option 4: None of the above