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Class 12 Accountancy Partnership Accounts - Basic Concepts GoodwillHard

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In the super profit method which base is most appropriate for calculating super profit?

Answer and explanation

Correct answer: Average profit minus normal profit

Super profit is the profit earned above normal profit. In exams calculate normal profit first and then deduct it from average profit.

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Goodwill Super-Profit Normal-Profit Partnership Partnership Accounts Basic Concepts Accountancy Class 12 Mcq

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