Match List – I with List – II. List - I List - II (A) Gaining Ratio (… | Accountancy Part A CUET question

Match List – I with List – II.

List - I	List - II
(A) Gaining Ratio	(I) Partner acquires the share from other partners
(B) Old Ratio	(II) Ratio decided by partner before Reconstitution
(C) Sacrificing Ratio	(III) Partner surrenders his share to other partners
(D) New Ratio	(IV) Partners decided to share future profits and losses

Choose the correct answer from the options given below :

Answer & explanation

Correct answer: option 1

The correct answer is Option (1) → (A)-(I), (B)-(II), (C)-(III), (D)-(IV)

Each ratio is named after what happens to the partner’s share at the time of reconstitution.

(A) Gaining Ratio — this matches (I) Partner acquires the share from other partners. It is the ratio in which continuing partners take over a share given up by another partner.

(B) Old Ratio — this matches (II) Ratio decided by partner before Reconstitution. It is the agreed ratio in which the partners shared profits before the change.

(C) Sacrificing Ratio — this matches (III) Partner surrenders his share to other partners. It is the ratio in which old partners give up part of their share in favour of others.

(D) New Ratio — this matches (IV) Partners decided to share future profits and losses. It is the ratio agreed for sharing profits after the reconstitution.

NCERT (2026-27 edition):
Gaining Ratio – “The ratio in which the continuing partners have acquired the share from the retiring/deceased partner is called the gaining ratio.”

NCERT (2026-27 edition):
Distribution of Profit among Partners – “The profits and losses of the firm are distributed among the partners in an agreed ratio. However, if the partnership deed is silent, the firm’s profits and losses are to be shared equally by all the partners.”

NCERT (2026-27 edition):
Sacrificing Ratio – “The ratio in which the old partners agree to sacrifice their share of profit in favour of the incoming partner is called sacrificing ratio.”

NCERT (2026-27 edition):
New Profit Sharing Ratio – “New profit sharing ratio is the ratio in which the remaining partners will share future profits after the retirement or death of any partner.”