How is gain ratio calculated? (Answer in one sentence)
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The gain is measured in bits.
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Answer:
As per the question
Explanation:
Gain ratio calculated
* When a partner retries, the remaining partners gain in terms of the profit sharing ratio. This gain is called as gain ratio.
* Gain ratio = New ratio + Old ratio
* New ratio = Old ratio + Gain
* Gain ratio = retiring Partner' s shares × Acquisition ratio
* New ratio = Old ratio + Gain ratio
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