When the partnership deed contains no provision, on what basis is the deceased partner’s share of profit up to the date of death generally estimated?

Correct answer: Average profit of the previous years

The profit up to the date of death is generally estimated on the basis of the average profit of the preceding years, which reduces the effect of unusually high or low profit in any one year. Profit of the previous year alone is used only when specifically agreed or required. In an exam, when the deed is silent, select ‘average profit’.