Question : Unless agreed otherwise, it is presumed that the continuing partners gain in their _____________and hence their ___________is the same as their old profit-sharing ratio.

Option 1: New ratio and gaining ratio

Option 2: Old ratio and gaining ratio

Option 3: Old ratio and sacrificing ratio

Option 4: None of the above

Question : Unless agreed otherwise, it is presumed that the continuing partners gain in their _____________and hence their ___________is the same as their old profit-sharing ratio.

Option 1: New ratio and gaining ratio

Option 2: Old ratio and gaining ratio

Option 3: Old ratio and sacrificing ratio

Option 4: None of the above

Question :

At the time of retirement of a partner, profit (gain) on revaluation will be credited to the Capital Accounts of

Option 1: retiring partner.

Option 2:

all partners in their old profit-sharing ratio.

Option 3:

the remaining partners in their old profit-sharing ratio.

Option 4:

the remaining partners in their new profit-sharing ratio.

Question : On the partner's passing, The remaining partner(s) who have benefited from the altered profit-sharing ratio should compensate the -

Option 1: Remaining partners (Who have sacrificed) as well as deceased partner

Option 2: Deceased partner only

Option 3: Remaining partners only (Who have sacrificed)

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