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In goodwill adjustment on retirement, if new profit shares of continuing partners are given, how will their gain be identified?

Answer and explanation

Correct answer: By comparing new share with old share

Gain is calculated by subtracting old share from new share. This is the simple way to find gaining ratio.

Related tags

Goodwill-SettlementGaining-RatioConceptGoodwill SettlementReconstitution Retirement Or Death Of A PartnerAccountancyClass 12 Mcq

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