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 ratio
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 ratio
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text: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 ratio
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