Valuation of the goodwill of the firm to be made twice the average profit of last 3years. The
profits were ₹48,000, ₹52,000, ₹80,000 respectively. Sagar was unable to bring the goodwill
in cash and hence goodwill was raised in the books of the firm.
Please give me journal entry
Answers
Answered by
0
Answer:
goodwill =TOTAL PROFIT FOR THE YEAR
--------------------------------------------
TOTAL NUMBER OF YEAR
=48000+52000+80000
---------------------------------
3
=180000
-----------
3
=60000
Answered by
0
Answer:
1)Goodwill A/c------------dr.
To Old partner's capital A/c
2) Balance sheet asset side
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