Identify the suitable rule for ascertaining sacrifice of old partners on admission of a new partner? a. Old Share – New Share | O b. Old Share - Gain O c. New Share – Sacrifice d. New share – Old share -
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- Accounting for the admission of a new partner by purchase of a partner's interest will a b C O d not affect total assets, liabilities, and capital. increase total assets and total capital. increase total capital. decrease total capital.Which of the following case where the losses are to be shared by the partners in their profit sharing ratio? • a. Dissolution of Firm b. None of the options are correct c Profit and Loss d. RevaluationPlease answer with reason for all why the option is correct and why the other options are incorrect Question 2 If an associate has preference share, the proper way of computing the share in net income of an associate for the current year assuming the preference share is cumulative would be a. Deduct the preference dividend for the current year only, whether declared or not b. Deduct the preference dividend for the current year, if declared only c. Deduct the preference dividend for the current year including any previous undeclared preference dividend d. Deduct both the preference and ordinary dividend for the current year only, whether declared or not
- Accumulated Reserve on admission of a partner can be divided using? O a. New Profit Sharing Ratio O b. Gaining Ratio O c. Old Profit Sharing Ratio d. Sacrificing Ratio62. In the absence of any agreement, it is presumed that the new partner acquires his share in profits from the old partners in the: A. O New ratio B. O Old ratio C. O Sacrificing ratio D. O Gaining ratioA share-based payment transaction with cash alternative whereby the right of choice of settlement is given to the employee is accounted for as A.partly cash-settled and equity-settled B. equity-settled C. either cash-settled or equity-settled, but not both D. cash-settled
- How should losses in a partnership be divided between the capitalist partners? The ranking should be: a. agreement-profit and loss -capital b. capital-agreement-profit and loss ratio c. agreement-profit ratio-capital d. profit and loss-capital-agreement.How would one compute the proposed value of an acquired interest if a person purchased a stake in a partnership from the partnership itself itself?14. Which journal entry holds true for admission of a new partner by purchase of interest? A. Debit to the capital account of new partner equal to the purchase price B.Debit to the capital account of selling partner equal to the purchase price C.Credit to the capital account of new partner equal to the purchase price D.Debit to the capital account of new partner equal to book value of interest purchased E.Credit to the capital account of new partner equal to book value of interest purchased
- How would one compute the proposed value of an acquired interest if a person acquires a stake in a partnership from the partnership itself itself?Accounting type Question: As per the decision in the Garner vs Murray case, when the partner's capital accounts are fixed, any loss arising due to the capital deficiency in the insolvent partner's capital account is to be borne by solvent partners in the ratio of ..... A. profit sharing ratio B. last agreed capital ratio C. sacrificing ratio D. gaining ratioHow are general partners usually compensated in a syndication?