Under average profit basis goodwill is calculated by :
A. No. of years’ purchased x Average profit
B. No. of years’ purchased x Super profit
C. Super Profit -r Expected Rate of Return
D. None of these
Answer:A
Under average profit basis goodwill is calculated by :
A. No. of years’ purchased x Average profit B. No. of years’ purchased x Super profit C. Super Profit -r Expected Rate of Return D. None of these