Multiple choice

The share of goodwill of retiring partner is debited to the remaining partner's capital a/c in

  1. old profit sharing ratio

  2. new profit sharing ratio

  3. sacrificing ratio

  4. gaining ratio

  5. capital ratio

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The share of goodwill of retiring partner is debited to the remaining partner's capital a/c in gaining ratio among the remaining partners.