Question No 1 of TS Grewal (CBSE)

Goodwill is to be valued at three years’ purchase of four years’ average profit. Normal business Profits of the firm for last four years ending 31st March, were: Rs. 12,000; Rs. 18,000; Rs. 16,000; Rs. 14,000. Calculate the amount of Goodwill.

Solution No 1 of TS Grewal (CBSE)

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