Apoorva and Muskaan had a firm in which they had invested ₹ 50,000. On an average, the profits were ₹ 16,000. The normal rate of return in the industry is 15%. Goodwill is to be valued at four years’ purchase of profits in excess of profits @ 15% on the money invested. Value of goodwill.

Anurag Pathak Changed status to publish June 25, 2023
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