Accountancy, asked by riddhigarg9344, 1 year ago

Why should a new partner contribute towards goodwill on his admission?

Answers

Answered by SaquibAnwar
46
Since a new partner gets his share of profit from old partners, he must compensate the old partners for the share sacrificed by them. The amount of compensation given by the new partner is known as goodwill.

Please mark me as brainliest .
Please urgent.....
Similar questions