If the deceased partner’s estimated annual share of profit is ₹11,40,000 and he dies 9 months after the beginning of the accounting year, what will be his share of profit up to the date of death?

Correct answer: ₹8,55,000

Share of profit up to death = estimated annual share of profit × elapsed months/12. Therefore, ₹11,40,000 × 9/12 = ₹8,55,000. Option B corresponds to 8 months, while C and D represent amounts based on 6 and 10 months respectively. Exam tip: For profit up to the date of death, multiply the annual profit or the partner’s annual share by the fraction of the accounting year completed; apply the partner’s profit-sharing ratio if the annual figure is the firm’s total profit.