In the absence of any information regarding the acquisition of share in profits of the retiring/deceased partner by the remaining partners, it is assumed that they will acquire his/her share in following-
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Old Profit Sharing Ratio
When nothing is said about how the share of the retiring or deceased partner is taken over, the remaining partners are taken to acquire it in their old profit sharing ratio, so their gaining ratio is the same as their old ratio.
Note: In the original question, both Option (1) and Option (2) were correct as per the NTA Answer Key. The paper printed Option (1) as Gaining Ratio and Option (2) as Old Profit Sharing Ratio. For the benefit of students and to ensure a single answer, Option (1) has been changed to Sacrificing Ratio.
NCERT (2026-27 edition):
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