Question

65. The profits of last five years are Rs. 85.000 Rs. 90.000 R$ 70,000 Rs. 100.000 and Rs. 80.000
the value of goodwill if it is calculated on average profits of last five years on the basis of 3 year
purchase
(a) Rs. 85.000
(b) R$ 2.55,000
(c) Rs. 2,75.000
(d) Rs. 2,85.000​

Answer 1

Answer:

your mother was the one girl who talk with you r you send her to chat please tell her name but u know what I want ur name of the day to be my friend and hero and heroine in this case and I think in this app it will be angry if you send

Answer 2

Calculation of goodwill :
1. Average profit = Total profit/ No. of years
Average profit = Rs. (85000 + 90000 + 70000 + 100000 + 80000)/ 3
Average profit = Rs. 425000/ 5
Average profit = Rs. 85000
2. Goodwill = Average profit * No. of years purchase
Goodwill = Rs. 85000 * 3
Goodwill = Rs. 255000



Hope this is the correct answer