Define Goodwill. Post category:Accountancy Reading time:1 mins read SOLUTION Goodwill is the value of the reputation of a firm in respect of the profits expected in future over and above the normal profits earned by other similar firms belonging to the same type of industry. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostGive two circumstances in which gaining ratio may be applied. Next PostGive two characteristics of Goodwill. You Might Also Like What is meant by ‘Minimum Subscription’? September 28, 2022 Following are the extracts from the Balance Sheet of MAH Ltd. as at 31st March, 2019: August 18, 2022 Tom and Harry were partners in a firm sharing profits in the ratio of 5: 3. During the year ended 31st March, 2015 Tom had withdrawn Rs. 40,000. Interest on his drawings amounted to Rs. 2,000. Pass necessary Journal entry for charging interest on drawings assuming that the capitals of the partners were fluctuating. (AI 2016) October 7, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Following are the extracts from the Balance Sheet of MAH Ltd. as at 31st March, 2019: August 18, 2022
Tom and Harry were partners in a firm sharing profits in the ratio of 5: 3. During the year ended 31st March, 2015 Tom had withdrawn Rs. 40,000. Interest on his drawings amounted to Rs. 2,000. Pass necessary Journal entry for charging interest on drawings assuming that the capitals of the partners were fluctuating. (AI 2016) October 7, 2022