Advertisements
Advertisements
Question
State whether the following statement is true or false with reason.
On retirement of a partner, a sacrifice ratio is considered.
Options
True
False
Solution
On the retirement of a partner, a sacrifice ratio is considered. - False
Explanation:
On the retirement of a partner, his share is acquired by continuing partners in a certain proportion and it is nothing but a gain for them. Therefore, on the retirement of a partner instead of sacrifice ratio gain ratio is considered.
APPEARS IN
RELATED QUESTIONS
Select the most appropriate answer from the alternatives given below:
Gaining ratio is the ratio in which ______.
Apte, Bhate and Chitale are sharing `1/2, 3/10, "and" 1/5` if Apte retire their new ratio will be ______.
Write the word/phrase/term/ which can substitute of the following statement:
The ratio which is obtained by deducting the Old Ratio from New Ratio.
State whether the following statement is true or false with reason.
Retiring partner is called an outgoing partner.
New Ratio (less) _________ = Gain ratio
A proportion in which the continuing partners get the share of retiring partner is known as ________ ratio.
What is meant by Retirement of a Partner?
What is New Ratio?
How is Gain Ratio calculated?
A, B and C are sharing profits and losses in the ratio of 1/2, 3/10, and 1/5 respectively. Find the new ratio of the remaining partners if A retires ______.
New Ratio (less) ______ = Gain ratio.
On retirement of a partner, partnership deed is ______ changed.
Asha, Nimisha and Shital are partners sharing profits and losses in the ratio of 5 : 4 : 2. Shital retires. New ratio for Asha and Nimisha is 6 : 5. Calculate Gain ratio.
Amar, Asit and Mohit are partners in a firm sharing profits and losses in the proportion 3 : 1 : 1 respectively. Their Balance Sheet as on 31st March, 2023 is as shown below:
| Balance Sheet as on 31st March, 2023 | |||
| Liabilities | Amount (₹) | Assets | Amount (₹) |
| Creditors | 80,000 | Bank | 25,000 |
| General Reserve | 1,00,000 | Debtors | 1,20,000 |
| Bills Payable | 50,000 | Livestock | 1,00,000 |
| Capital Accounts: | Building | 1,50,00 | |
| Amar | 2,50,000 | Plant and Machinery | 70,000 |
| Asit | 2,00,000 | Motor Truck | 2,00,000 |
| Mo hit | 1,00,000 | Goodwill | 1,15,000 |
| 7,80,000 | 7,80,000 | ||
On 1st April, 2023 Mohit retired and the following adjustments have been agreed upon:
(I) Goodwill was revalued on ₹ 1,00,000.
(2) Assets and Liabilities were revalued as follows:"
Debtors ₹ 1,00,000, Livestock ₹ 90,000, Building ₹ 2,50,000, Plant and Machinery ₹ 60,000, Motor truck ₹ 1,90,000 and Creditors ₹ 60,000.
(3) Amar and Asit contributed additional capital through Net Banking of ₹ 1,00,000 and ₹ 50,000 respectively.
(4) Balance of Mohit's Capital Account is transferred to his Loan Account. Give Journal entries in the books of new firm
Find the odd one:
New Ratio (less) ______ = Gain ratio.
New Ratio (less) ______ = Gain ratio.
New Ratio (less) ______ = Gain ratio.
New Ratio (less) ______ = Gain ratio
New Ratio (less) ______ = Gain ratio
New Ratio (less) ______ = Gain ratio
New Ratio (less) ______ = Gain ratio.
New Ratio (less) ______ = Gain ratio.
