Question

Chapter 3. Goodwill: Nature and Valuation 3.35
39. From the following particulars, calculate value of goodwill of a fim by applying Capitalisation of Average
Profit Method:
() Profits of last five consecutive years ending 31st March are: 2019- 54,000; 2018 42,000;
2017-39,000, 2016-267,000 and 2015-59.000
(1) Capitalisation rate 20%.
(iii) Net assets of the firm 2,00,000,
(Ans.: Goodwill-61.000​

Answer 1

Answer:

61000

Explanation:

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