profit of company next year?
3. The population of India in 1990 was 86,45,65,844; in 2000 it was 98,48,37,456 and in 2010 it was
1,04,78,26,783. What was the increase in each of the decade?
4 The tachometer of a car reads 53,146 km on 01 Jan 2017. On 31 Dec 2017, it reads 84,753. If for
Answers
ANSWER
Calculation of amount of goodwill:
Average profit= [50000+60000+90000+70000]/4
= 67500
Goodwill of the firm= 67500 * 3
= 202500
Ram's share of goodwill= 1/4 * 202500
= 50625
(a) Goodwill appears in the books at 202500
Since the difference between goodwill that already appears in the books and goodwill calculated is zero, no entry is passed.
(b) Goodwill appears in the books at 205500
Difference= 205500- 202500
= 3000
JOURNAL
Mohan's Capital a/c.... Dr. 1800
Sohan's Capital a/c..... Dr. 1200
To Goodwill a/c 3000
(Being goodwill brought down to its agreed value)
HOPE it's helps you ❤️
have a great day ❣️