Solve
Guides
0
You visited us 0 times! Enjoying our articles? Unlock Full Access!
Standard XII
Accountancy
Valuation and Adjustment of Goodwill on Retirement
Question

Goodwill of a firm of A and B is valued at 30,000. It is appearing in the books at 12,000. C is admitted for 1/4th share. The amount of goodwill, which he is supposed to bring, will be:

A
4,500
B
3,000
C
10,500
D
7,500
Open in App
Solution
Verified by Toppr

Correct option is A. 4,500
Goodwill of the firm is valued at = Rs. 30,000
Existing Goodwill = Rs. 12,000
Goodwill to be brought in by C = Rs. (30,000 - 12,000) x 1/4 = Rs. 4500

Was this answer helpful?
3
Similar Questions
Q1
Goodwill of a firm of A and B is valued at 30,000. It is appearing in the books at 12,000. C is admitted for 1/4th share. The amount of goodwill, which he is supposed to bring, will be:
View Solution
Q2
Goodwill of a firm of A and B is valued at 30,000. It is appearing in the books at 12,000. C is admitted for 1/4 share. What amount he is supposed to bring for goodwill?
View Solution
Q3
Z is admitted to a firm for 1/4th share in the profit for which he brings in Rs.10,000 towards premium for goodwill. It will be taken by the old partners in ____________ .
View Solution
Q4
On the admission of Rao, goodwill of Murty and Shah is valued at ₹ 30,000. Rao is to get 1/4th share of profits. Previously Murty and Shah shared profits in the ratio of 3 : 2. Rao is unable to bring amount of goodwill. Give Journal entries in the books of Murty and Shah when:
(a) there is no Goodwill Account and
(b) Goodwill appears in the books at ₹ 10,000.
View Solution
Q5
A & B are partners in 3:2.they admit C into the firm for 1/4th share in profits which he takes 1/6th from A & 1/12th from B. C brings Rs18,000 as goodwill out of his share of Rs30,000.No goodwill account appears in the books of the firm.Pass necessary journal entries in the books of the firm?
View Solution