The ratio in which the remaining partners acquire the retiring partner’s share is called __________. (Gaining Ratio/Sacrifice Ratio)
Show Hint
Solution and Explanation
Top PSEB Accountancy Questions
- Under which method of valuation of Goodwill, normal rate of return is not required?
- An increase in the value of assets is recorded on which side of the Revaluation Account?
- J, K, L, M are in partnership sharing profits and losses in ratio of 9 : 6 : 5 : 5. 'N' joins the partnership for 20% share. J, K, L and M would in future share profits among themselves as 3 : 4 : 2 : 1. The new profit sharing ratio will be:
- X, Y and Z are three partners sharing profits in the ratio 10 : 7 : 7. Z retired. X and Y decided to share profits in equal ratio. Gaining ratio will be:
- Rent paid to a partner is _________ against profit. (charge/appropriation)
Top PSEB Accounting Ratios Questions
- What is the formula for calculating Sacrifice Ratio?
Ekam and Akash were partners in a firm sharing profits in the ratio of 3 : 2. On 31st March, 2024 the Balance Sheet of the firm was as follows:
The firm was dissolved and the assets and liabilities were settled as follows:
Land and Building was taken over by the creditors as full settlement.
Ekam accepted an unrecorded asset of ₹50,000 in full settlement of his loan.
Furniture was taken over by Akash for cash payment at 5% less than book value.
Debtors were collected by a debt collection agency at a cost of ₹10,000.
Bills Receivable realised ₹1,41,000.
Akash agreed to bear all realisation expenses. He was allowed ₹1,000 for this service. Actual realisation expenses of ₹2,000 were paid by Akash.
Prepare Realisation Account and Partners’ Capital Accounts.- A company purchased machinery for ₹18,00,000 and in consideration issued shares at 20% premium. What will be the face value of shares issued?
- A company purchased machinery for ₹18,00,000 and in consideration issued shares at 20% premium. What will be the face value of shares issued?
- A firm has a current ratio of 3.5 : 1 and a quick ratio of 2 : 1. Assuming inventory at ₹96,000, find out total current assets and total current liabilities.
Top PSEB Questions
- Under which method of valuation of Goodwill, normal rate of return is not required?
- An increase in the value of assets is recorded on which side of the Revaluation Account?
- J, K, L, M are in partnership sharing profits and losses in ratio of 9 : 6 : 5 : 5. 'N' joins the partnership for 20% share. J, K, L and M would in future share profits among themselves as 3 : 4 : 2 : 1. The new profit sharing ratio will be:
- X, Y and Z are three partners sharing profits in the ratio 10 : 7 : 7. Z retired. X and Y decided to share profits in equal ratio. Gaining ratio will be:
- Rent paid to a partner is _________ against profit. (charge/appropriation)