Profit Sharing Quiz - CBSE Class 11 Accountancy

Free practice quiz: Profit Sharing (CBSE Class 11 Accountancy). 30 multiple-choice questions with answers and explanations. Play online, no sign-up needed.

Sample questions

1. In a partnership, how is the profit distributed among partners if no specific agreement exists?

   1. Equally among all partners
   2. Based on investment ratio
   3. Based on the seniority of partners
   4. Based on percentage of work done
   Show answer

   Answer: A. Equally among all partners

2. In a partnership, if partners agree to change their profit-sharing ratio, which of the following conditions must be met?

   1. Written agreement
   2. No changes in capital
   3. Approval from all partners
   4. Only one partner must agree
   Show answer

   Answer: C. Approval from all partners

3. Which of the following is a method for calculating profits shared among partners?

   1. Cost plus method
   2. Least squares method
   3. Time-based ratio
   4. Pro-rata basis
   Show answer

   Answer: D. Pro-rata basis

4. In a partnership, what is the primary basis for profit-sharing?

   1. According to capital contribution
   2. Equally among partners
   3. Based on the time invested
   4. As per the partnership agreement
   Show answer

   Answer: D. As per the partnership agreement

5. What is the primary factor determining a partner's share of profit?

   1. Time spent
   2. Initial investment
   3. Profit-sharing ratio
   4. Experience
   Show answer

   Answer: C. Profit-sharing ratio

More quizzes

• Reconstitution of Partnership

Browse all Partnership Accounts quizzes