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Class 12 Accountancy Reconstitution - Admission of a Partner Goodwill AccountingMedium

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Super profit is ₹25000 and years' purchase is 4. What will be the goodwill?

Answer and explanation

Correct answer: ₹100000

Goodwill is (25000 \times 4 = ₹100000). In super profit method multiply super profit by years' purchase.

Related tags

Super Profit Method Numerical Valuation Goodwill Accounting Reconstitution Admission Of A Partner Accountancy Class 12 Mcq

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