10)Under which one of the following method, the profit and the total sales of the last year will be taken in to consideration?

a.

Time basis method

b.

Capital basis method

c.

Turnover basis method

d.

Goodwill basis method

11)At the time of reconstitution of partnership, Decrease in the value of inventory will be:

a.

Credited to partners' capital account

b.

Debited to partners' capital account

c.

Credited to revaluation account

d.

Debited to revaluation account

12)At the time of retirement of a partner, which one of the following ratio benefits the remaining partners?

a.

Sacrificing ratio

b.

Gaining ratio

c.

Capital ratio

d.

Old ratio

13)When the amount due is paid off immediately to the retiring partner, the accounting entry will be:

a.

Dr: Bank a/c

Cr: Remaining partners' capital a/c

b.

Dr: Remaining partners' capital a/c

Cr: Bank a/c

c.

Dr: Retiring partner's capital a/c

Cr: Bank a/c

d.

Dr: Bank a/c

Cr: Retiring partner's capital a/c