1.
Gain ratio is calculated on ______________
a.
admission of a partner'
b.
retirement of a partner
c.
death of a partner
d.
retirement or death of a partner.
2.
Gain ratio is the ratio in which _________
a.
the old partners gain on admission of a new partner.
b.
the goodwill of a new partner on admission is credited to old partners.
c.
the continuing partner's benefits on retirement or
death of a partner.
d.
none of the above.
3.
Share of profit of a deceased partner till the date of death is ____________
a.
debited to P/L Adjustment A/c
b.
credited to P/L Adjustment A/c
c. debited to P/L Suspense A/c
d.
Credited to P/L Suspense a/c
4.
An amount received from the Insurance Company against the joint policy is
____________
a.
debited to deceased partner
b.
credited to deceased partner
c.
credited to continuing partners capital A/c
d. credited to all partners capital A/c in their profit
sharing ratio
5.
M.N.S. are partners in a firm having joint policy of Rs. 10,00,000 on which
premium has been paid by a firm. M dies and his legal representatives want the
whole amount of the policy where N and S want to distribute the amount among
all the partners.
a.
M's representatives are correct.
b.
N and S are correct
c.
All are wrong
d.
Insurance company will decide.
