The Capital of the firm of Anuj and Benu is ₹ 10,00,000 and the market rate of interest is 15%. The annual salary of the partners is ₹ 60,000 each. The profit for the last three years were ₹ 3,00,000; ₹ 3,60,000 and ₹ 4,20,000.

The goodwill of the firm is to be valued on the basis of two years’ purchase of the last three years’ average super profit.

Calculate the goodwill of the firm.

[Ans.: Goodwill – ₹ 1,80,000.]

Anurag Pathak Changed status to publish March 30, 2024
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