After the death of a partner, among whom are the firm’s future profits generally distributed?

Correct answer: Among the surviving partners, in the new profit-sharing ratio

From the date of death, the partner ceases to be a member of the firm. Therefore, future profits are shared by the surviving partners in their new profit-sharing ratio. The deceased partner’s heirs receive the amount due up to the date of death, not a share in future profits. Exam tip: Distinguish profit up to the date of death from profit earned after that date.