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New partner brings capital (₹200000) equal to his (1/5) share. Adjusted capital of old partners is (₹840000). What is the conclusion about hidden goodwill?

Answer and explanation

Correct answer: No positive goodwill

Capital based total is (200000 \times 5=₹1000000) while actual capital is (₹1040000). So no positive hidden goodwill arises.

Related tags

GoodwillHidden GoodwillNo GoodwillPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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