Valuation of Goodwill[Chapter-2],Class 12 Accounts

Valuation of Goodwill[Chapter-2],Class 12 Accounts

12th Accounts, Uncategorized
Define Goodwill [1] List any four factors affecting goodwill. [1] How does the factor ‘Quality of Products’ affect the goodwill of a firm? [1] How does the factor ‘Location’ affect the goodwill of a firm? [1] How does the factor ‘Efficiency of Management’ affect the goodwill of a firm? [1] How does the market situation affect the value of goodwill of a firm? [1] How does the nature of business affect the value of goodwill of a firm? [1] Describe the need for valuation of goodwill. [3] The profit for the last five years of a firm were as follows: Year 2010 Rs.4,00,000; Year 2011 Rs.3,98,000; Year 2012 Rs.4,50,000; Year 2013 Rs.4,45,000 and Year 2017 Rs.5,00,000. Calculate goodwill of the firm on the basis of 4 years purchase of 5…
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Fundamental of Partnership[Chapter-1],Class 12 Accounts

Fundamental of Partnership[Chapter-1],Class 12 Accounts

12th Accounts
Why Profit and Loss Appropriation Account is prepared? [1] State the provisions of ‘Indian Partnership Act, 1932’ in the absence of partnership deed regarding (i) Interest on Partner’s Drawings and (ii) Interest on Advances other than capital. [1] X and Y are partners in a firm without a partnership deed. X is active partner and claims a salary of Rs.36,000 per month. State with reason whether the claim is valid or not. [1] Amit has provided a capital of Rs.1,00,000 where as Vivek had provided Rs.20,000 only as capital. Vivek  however has provided Rs.40,000 as loan to the firm. There is no partnership agreement. Vivek  claims interest of Rs.2,400. Whereas other partners do not want to give any interest. State giving reason who is correct in this case. [1] X…
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