Multiple Choice
The total capital employed in the company is ?8,00,000 a reasonable rate of return is 15%and the profit of the year is 412,00,000. The value of goodwill of the company as per thecapitalization method will be
A) 82,00,000
B) 1200000
C) 7200000
D) 4200000
Correct Answer:

Verified
Correct Answer:
Verified
Q1: Weighted average method of calculating goodwill is
Q2: Patent Royalty is based on<br>A)Production<br>B)Sales<br>C)Purchase<br>D)Both A and
Q4: The profits of the last three years
Q5: What is Royalty?<br>A)A payment is made for
Q6: From the profits of previous three years,
Q7: The monetary value of reputation of business
Q8: A firm earns ?1,00,000. The normal rate
Q9: Goodwill is an intangible Assets<br>A)True<br>B)False<br>C)none<br>D)all
Q10: Goodwill be purchased<br>A)True<br>B)False<br>C)none<br>D)all
Q11: When does need valuation of Goodwill<br>A)On retirement