0
The profits earned by a firm during the last four years were as follows:
Year ended 31st March Profits (₹)
2021 80,000
2022 1,00,000
2023 1,10,000
2024 1,50,000
Calculate the value of goodwill on the basis of three year’s purchase of weighted average profits. Weights to be used are 1, 2, 3 and 4 respectively to the profits for 2021, 2022, 2023 and 2024. [Ans. Goodwill ₹ 3,63,000.]
Anurag Pathak Answered question June 27, 2024
Add a Comment