What is meant by change in profit sharing ratio?

What is meant by sacrificing partner?

Give two circumstances in which sacrifice ratio may be applied.

Who should compensate to whom in case of a change in profit sharing ratio of existing partners?

Why are the 'Reserve and Surplus' distributed at the time of reconstitution of the firm?

Anita, Asha and Amrit are partners sharing profits in the ratio of 3:2:1 respectively. From 1st January 2010, they decided to share profits in the ratio of 1:3:2. The partnership deed provides that in the event of any change in profit sharing ratio, the goodwill should be valued at three years purchase of the average of five years profits. The profits and losses of the preceding five years are: Profits 2005-Rs 1,20,000; -Rs 3,00,000; 2007-Rs 3,40,000; 2008-Rs 3,80.000; 2009-Rs 1,40,000 (Loss).

Showing the working clearly, give the necessary journal entry to record the above change.

X, Y and Z were sharing profits and losses in the ratio of 5:3:2. They decided to share future profits and losses in the ratio of 2:3:5 with effect from 1.4.2007. They decided to record the effect of the following, without effecting their book values:

(i) Profit and Loss Account (Cr.)          Rs.24,000

(ii) Advertisement Suspense Account  Rs.12,000

     Pass the necessary adjusting entry.       

Why is it necessary to adjust goodwill at the time of change in profit sharing ratio?

State the need for treatment of goodwill on change in profit sharing ratio

In case of change in profit sharing ratio ,how can the gaining partner compensate the sacrificing partner?

Anita,Asha and Amrit are partners sharing profits in the ratio of 3:2:1 respectively .From 1st January,2016,they decided to share profits in the ratio of 1:1:1.The partnership deed provided that in the event of any change in profit sharing ratio,the goodwill should be valued at three years'purchase of the average of five years'
The profits and losses of the preceding five years are

Showing the working clearly,give the necessary journal entry to record the above change.

Lalit,Rahul and Sumit are sharing [profits and loses in the ratio 5:3:2 They decided to share future profits and loses in the ratio of 2:3:5 with effect from 1st April,2015.They also decided to record the effect of the following revaluations without affecting the book value of the assets and liabilities by passing a single adjusting entry