Question

How is gain ratio calculated? (Answer in one sentence)

Answer 1

The gain is measured in bits.

Answer 2

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