Under the Capitalisation of Super Profit basis of goodwill valuation, goodwill is calculated by
Under the Capitalisation of Super Profit basis of goodwill valuation, goodwill is calculated by
(a) Average Profit × No. of year’s purchase.
(b) Super Profit × No. of year’s purchase.
(c) Weighted Average Profit × No. of Year’s Purchase.
(d) Super Profit divided by Expected Rate of Return.
Anurag Pathak Changed status to publish April 18, 2023
Ans – d)
Explanation:-
Formula:- Super Profit/Rate of Return
Anurag Pathak Changed status to publish April 18, 2023
