passwella.
Menu

WAEC Financial Accounting 2018 Question 39

Question 39

Partnership Admission, Retirement and Dissolution

An event that will not require a change in the profit-sharing ratio of partners in a firm is when

  1. A.a partner dies.
  2. B.a partner retires.
  3. C.a new partner is admitted.
  4. D.partners assets value appreciates.
Show the answer and explanation

Answer: D (partners assets value appreciates.)

Explanation

A rise in asset values is handled by revaluation; it does not change the partners.