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Question : Choose which of the following statements is correct in respect of Sacrificing Ratio:
 

Option 1: Old ratio – New ratio

Option 2: New Ratio – Old Ratio

Option 3: Old Ratio – Gaining Ratio

Option 4: Gaining Ratio – Old Ratio


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Old ratio – New ratio


Solution : Answer = Old ratio – New ratio

Sacrificing Ratio is the difference between the old partnership ratio and the new partnership ratio when a partner retires or a new partner is admitted. It's calculated by subtracting the new ratio from the old ratio to determine the extent of sacrifice made by the existing partners.
Hence, the correct option is 1.

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