how will you gain define gane ratio ?
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This and other ratios help analysts determine whether a company's share price properly reflects its performance.
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❤ Gaining ratio is a type of financial tool that is helps in determining the proportion by which the remaining partners of a firm will share the profits of an existing partner in the event of his death or retirement. The ratio by which they share the profits is known as gaining ratio. It can also be defined as the difference between the old profit sharing ratio and the new profit sharing ratio.
❤️The gaining ratio will be calculated as follows :
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