Question

ONAL QUESTIONS
Valuation of Goodwill
Q. 18/Calculate the value of goodwill as on 1st April, 2015, on the basis of 2
year’s purchase of the average profits of the last five years. The profits and losses for
the years ending 31st March were: 2010 780,000; 2011 31,00,000; 2012 Loss
*30,000; 2013 1,70,000; 2014 *1,60,000 and 2015 31,80,000. You are informed that
the profits of the year ending 31st March 2014 included profit on sale of a fixed asset
amounting to 350,000 and the profits for the year 2015 were effected by a loss due to
fire amounting to $20,000.​

Answer 1

Answer:

n feel like a great week ahead for me but I'm sure we are in for that