Question

Capital employed in a business is Rs. 2,00,000. The normal rate of return on capital employed is 16%. During the year 2015 the firm earned a profit of Rs. 48,000. Calculate goodwill on the basis of 3 years purchase of super profit? (1) *​

Answer 1

Answer:

54,000

Explanation:

np= 2,00,000÷15/100=30,000

sp=48,000-30,000

=18,000

goodwill=18,000×3

=54,000