Question

at the time of admission for share in super profit new partner brings option a- capital b-premium for goodwill c-both a&b d - none​

Answer 1

Answer:

Option : B

Explanation:

Among the four options given in question statement, the correct one is the second one, Premium for goodwill.

Premium for goodwill is the extra benefit brought by the new partner to compensate for the loss in share of the super profits of the old partners. This extra amount is divided between already existing partners. Although capital is also important, but premium of goodwill is more effective and helps bussiness to grow actually

Answer 2

At the time of admission, for a share in super profit, the new partner brings the premium or the goodwill.

• The amount of goodwill generated by the new partner may either be added to the current or sacrificing partners' capital accounts, or directly reported in the ledger.
• The current partners may either remove the entire number, or only some portion thereof. It is done in line with the law 'debit what comes in
• It is done primarily to compensate the current partners for loss of their stake of the company's super profits.