Super profits of a firm have been calculated at ` 30,000. Using a sliding scale of super profits estimate the value of goodwill by taking 3 years purchase.
exceptionalmeno:
This isn't complete question. Please provide sliding scale for answer.
Answers
Answered by
1
Computation of goodwill
First. 10000*3. 30000
Next 10000*2. 20000
Last. 10000*1. 10000
Value of goodwill =60000
First. 10000*3. 30000
Next 10000*2. 20000
Last. 10000*1. 10000
Value of goodwill =60000
Are you sure?
Since you haven't provided sliding scale in question... This is how it will be solved.
Illustration 10:
Compute the value of Goodwill on the basis of Sliding Scale Method.
Amount of Super-Profit estimated at Rs. 12,000.
Sliding Scale:
First Rs, 6,000 for 3 years’ purchase
Next Rs. 4,000 for 2 years’ purchase
Balance Rs. 2,000 for 1 year’s purchase........ Full question looks like this.
Compute the value of Goodwill on the basis of Sliding Scale Method.
Amount of Super-Profit estimated at Rs. 12,000.
Sliding Scale:
First Rs, 6,000 for 3 years’ purchase
Next Rs. 4,000 for 2 years’ purchase
Balance Rs. 2,000 for 1 year’s purchase........ Full question looks like this.
Ohhk great
Are u studying commerce??
Yes
I am an undergraduate.
Answered by
0
The goodwill is a 60000
Similar questions