The average profit of a firm is ₹ 75,000. The rate of capitalization is 12%. The assets and liabilities of the firm are ₹ 6,80,000 and ₹ 4,30,000 respectively. The value of goodwill is:
CS Executive · Corporate and Management Accounting · PYQS · June 2024
The average profit of a firm is ₹ 75,000. The rate of capitalization is 12%. The assets and liabilities of the firm are ₹ 6,80,000 and ₹ 4,30,000 respectively. The value of goodwill is:
Answer & Explanation:
Correct Answer: Option (B)
Official answer key: (B).
Topics: Corporate Accounting
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