Z's share is \(\frac{7}{15}\). His share will be divided between X and Y ratio = 3:2
\(X=\frac{3}{5} \times \frac{7}{15}=\frac{21}{15}\) \(X=\frac{1}{5}+\frac{21}{75}=\frac{15+21}{75}=\frac{36}{75}\) 
\(\mathrm{Y}=\frac{2}{5} \times \frac{7}{15}=\frac{14}{15}\) \(\mathrm{Y}=\frac{2}{5}+\frac{14}{75}=\frac{25+14}{75}=\frac{39}{15}\) 
Ratio = 12 : 13

Payment may also be made by annuity. If it is so, accounting record will be the same as in the case of payment by annuity in retirement.

When a firm is not in possession of sufficient amount for making payment to the executor of the deceased partner, it can pay the amount instalments. The total claim is first to be transferred to executoes loan account, allpayment by installment are recorded in this account.

If the firm has sufficient cash to pay off the amount due to the deceased partner, it can pay the amount immediately and this is known as Lump sum payment method. 

                                                                  Journal Entry

Old Ratio of A, B & C is 3:2:1
C's share \(\frac{1}{6}\) . His share will be divided between A and B ratio of 2 : 1.
i.e \(A=\frac{1}{6} \times \frac{2}{3}=\frac{2}{18}\) ; \(B=\frac{1}{6} \times \frac{1}{3}=\frac{1}{18}\) 
A's  New share \(\frac{3}{6}+\frac{2}{18}=\frac{9+2}{18}=\frac{11}{18}\) 
B's New share  = \(\frac{2}{6}+\frac{1}{18}=\frac{6+1}{18}=\frac{7}{18}\) 
New ratio A and B is = 11 : 7.

Q's share of Profit  = \(\frac{3}{10}\) 
P will take . out of his share = \(\frac{3}{10} \times \frac{5}{7}=\frac{15}{70}\) 
R will take out of his share = \(\frac{3}{10} \times \frac{2}{7}=\frac{6}{70}\) 
Adding these to their previous share
\(\mathrm{P}=\frac{5}{10}+\frac{15}{70}=\frac{35+15}{70}=\frac{50}{70}\) 
\(R=\frac{2}{10}+\frac{6}{70}=\frac{14+6}{70}-\frac{20}{70}\) 
\(\therefore\) The new ratio is = 50 : 20 = 5 : 2.

New Ratio = old ratio + Gaining ratio
Q's New share = \(\frac{2}{5}+0=\frac{2}{5}\) 
R's New Share = \(\frac{1}{5}+\frac{2}{5}=\frac{3}{5}\) 
This new ratio of Q and R will be 2:3

New ratio = old ratio + gaining ratio
A's New Share = \(\frac{3}{6}+\frac{1}{24}=\frac{12+1}{24}=\frac{13}{24}\) 
B's New share = \(\frac{2}{6}+\frac{1}{8}=\frac{8+3}{24}=\frac{11}{24}\) 
This new ratio of A and B is 13: 11 respectively.

The profit or loss on revaluation of assets and liabilities on the retirement of Mohana will be transferred to the capital accounts of the partners in their old ratio i.e. 4:3:2.

At the time of retirement a partner is entitled to get an amount equal to his share in profits out of firm's goodwill

Profit and loss suspense account is opened to credit the share of profit of the deceased partner

If the retiring partner is not paid fully immediately on retirement, then the remaining balance of his capital account will be transferred to his loan account and will be shown as his loan on the liabilities side . of the balance sheet of the firm

A partner may retire from the firm:
(i) With the consent of all the partners.
(ii) In accordance with an express agreement by the partners.

A person who is retired from the firm is known as an outgoing partners or retiring partners.