English

How is goodwill treated when there is a change in the profit sharing ratio? -

Advertisements
Advertisements

Question

How is goodwill treated when there is a change in the profit sharing ratio?

Options

  • The gaining partners give the amount of goodwill to the sacrificing partner.

  • The gaining partners give a proportionate amount of goodwill to the sacrificing partner.

  • The sacrificing partner gives the amount of goodwill to the gaining partner.

  • The sacrificing partner gives the proportionate amount of goodwill to the gaining partner.

MCQ

Solution

The gaining partners give a proportionate amount of goodwill to the sacrificing partner.

shaalaa.com
Change in Profit Sharing Ratio Among the Existing Partners
  Is there an error in this question or solution?
Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×