SOLUTION The retiring partner / heirs of deceased partner are entitled to the share of goodwill because the goodwill earned by the firm is the result of the efforts of…
SOLUTION Sacrificing Ratio is calculated at the time of admission of a new partner, whereas Gaining Ratio is calculated at the time of retirement or death of a partner.
SOLUTION At the time of retirement or death of a partner, assets are revalued and liabilities are reassessed so that the gain (profit) or loss arising on account of such…
SOLUTION The remaining partners acquire the share of profit of retiring partner in their gaining ratio.
SOLUTION Profit-sharing ratio of the remaining partners is decided as per the mutual agreement among the remaining partners.
SOLUTION Interest on Loan payable to R will be @6% p.a.
SOLUTION Meetu's Share of Goodwill = Rs. 4,20,000 x 1 / 3 = Rs. 1,40,000Meetu's Share of Goodwill Rs. 1,40,000 would be adjusted between Neetu and Teetu in their gaining…
SOLUTION Gaining Ratio of A and C is 1: 1 as they have taken over B's Share equally.