Define Sacrificing Ratio. unless given other wise, what will be the ratio of sacrifice of the old partners in the case of admission of a new partner?
Define Sacrificing Ratio. unless given other wise, what will be the ratio of sacrifice of the old partners in the case of admission of a new partner?
Anurag Pathak Changed status to publish July 18, 2023
The ratio in which the old (existing) partners sacrifice their share in profits in favour of an incoming partner is called the Sacrificing Ratio.
Sacrificing Ratio = Old Ratio – New Ratio
Unless agreed otherwise, it is presumed that old partners sacrifice their share of profit in favour of new partner in their profit sharing ratio.
Anurag Pathak Changed status to publish July 18, 2023
