Download App

P1 C3 VALUATION OF GOODWILL — Elements of Account STD 12 Commerce — Question

Gujarat BoardEnglish MediumSTD 12 CommerceElements of AccountP1 C3 VALUATION OF GOODWILL1 Mark
MCQ
Goodwill by method of capitalizing of the average profit method means -
  • A
    Amount invested in business Capitalized profit
  • ✓
    Capitalized profit Capital invested in the business
  • C
    Capitalized profit $\times$ Years of purchase of goodwill
  • D
    None of the above
✓

Answer

Correct option: B.
Capitalized profit Capital invested in the business

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "MCQ" from P1 C3 VALUATION OF GOODWILL→P1 C3 VALUATION OF GOODWILL — all question types→Elements of Account STD 12 Commerce question papers→Gujarat Board STD 12 Commerce question papers→Gujarat Board question paper generator→

Similar questions

In the fixed capital account method, where would you give the effect of adjustment of fluctuation of capital?
→
When partner withdraws equal amount in the beginning of every month, for how many months interest on drawings be calculated?
→
For which of the following ratios is revenue based profitability ratio?
→
The expenses of the current year of a company is $Rs. 6,00,000;$ and if it is increased by $20 \%$ compared to the previous year, what would be the expenses of the previous year?
→
Which of the following is not included to compute current ratio?
→
Reconstruction of partnership means$.......$
→
Under which main heading of the balance sheet pre-paid insurance premium is shown ?
→
During previous year non-current assets of a company are $3,3,00,000$ and if there is $(4.50 \%)$ increase / decrease in its value, what will be value of assets in current year ?
→
From year$……… .$Companies Act was applicable in India.
→
If partnership deed is silent, interest is payable at __________ on unpaid amount payable to the retiring partner.
→