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WAEC Accounting 2018 Objective — Question 39

Question 39 of 50 from the West African Examinations Council (WAEC) Accounting 2018 Objective paper, with the correct answer and a full explanation.

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An event will not require a change in the profit–sharing ratio of partners in a firm when a partner

  • A. dies
  • B. retires
  • C. a new partner is admitted
  • D. partners value appreciatesCorrect

Explanation

A mere appreciation in the value of the partnership's assets does not, by itself, require a change in the agreed profit-sharing ratio.

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