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The total Capital employed in the firm is ₹ 8,00,000, the Normal Rate of Return is 15% and the profit for the year is ₹ 1,20,000. Value of goodwill as per the Capitalisation Method would be:

a) ₹ 8,20,000

b) ₹ 1,20,000

c) ₹ Nil

d) ₹ 4,20,000

 

Anurag Pathak Changed status to publish April 16, 2023
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