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  3. Study Set
    Financial Accounting
  4. Exam
    Exam 6: Valuation and Calculation of Goodwill
  5. Question
    The Excess of Average Profit Over Normal Profit Is Called
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The Excess of Average Profit Over Normal Profit Is Called

Question 14

Question 14

Multiple Choice

The excess of Average profit over normal profit is called


A) Super profit
B) Normal profit
C) Fixed profit
D) Abnormal profit

Correct Answer:

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Related Questions

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

Q12: Which methods of valuation of Goodwill<br>A)Super profits<br>B)Average

Q13: Mining Royalty is based on<br>A)Production<br>B)Sales<br>C)Purchase<br>D)Both A and

Q15: Goodwill will have no effect on business

Q16: Goodwill is defined as<br>A)Intangible asset<br>B)Fictitious asset<br>C)Current asset<br>D)Current

Q17: If Average Profit of a certain firm

Q18: The profits of the last three years

Q19: Which methods of valuation of Goodwill<br>A)Super Profit<br>B)Capitalization<br>C)Average

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