A, T and R were partners in a firm sharing profits in the ratio of 5 : 6 : 7 respectively. Their capitals were Rs. 5,00,000; Rs. 6,00,000 and Rs. 7,00,000 respectively. State the ratio in which the goodwill of the firm amounting to Rs. 16,00,000 will be adjusted in the capital accounts of A and T in case of R’s death.

None of the above

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Old Ratio

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Gaining Ratio

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Sacrificing ratio

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Solution

The correct option is C
Gaining Ratio

Goodwill of the firm, at the time of R’s death, will be adjusted among A and T in new ratio.

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The correct option is C Gaining Ratio Goodwill of the firm, at the time of R’s death, will be adjusted among A and T in new ratio.

The correct option is C
Gaining Ratio

Goodwill of the firm, at the time of R’s death, will be adjusted among A and T in new ratio.