1.

Distinguish between: Sacrificing Ratio and Gaining Ratio. 

Answer»

Distinction between Sacrificing Ratio and Gaining Ratio

Basis of DifferenceSacrificing RatioGaining Ratio
MeaningIt is the Ratio in which the Old Partners Surrender a Part of their Share in Favour of New Partner .It is the Ratio by which the Remaining Partners Acquire the Outgoing (Retired or Deceased) Partner’s Share. 
When CalculatedSacrificing Ratio is Calculated at the Time of the Admission of a New Partner. Gaining Ratio is Calculated at the Time of the Retirement or Death of a Partner. 
Formula for CalculationFormula for Calculating this Ratio is : 
Sacrificing Ratio = Old Ratio – New Ratio
Formula for Calculating this Ratio is :
Gaining Ratio = New Ratio – Old Ratio



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