How does the factor ‘Location’ affect the goodwill of a firm? Post category:Accountancy Reading time:1 mins read SOLUTION Better location will attract more customers resulting in increase in sales and profits which in turn will result in increase in the value of goodwill. 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 PostWhy is ‘Goodwill’ considered an ‘Intangible Asset’ but not a ‘Fictitious Asset’? (ISC 2020) Next PostHow does the factor ‘Efficiency of Management’ affect the goodwill of firm? You Might Also Like Sita and Geeta are partners in a firm sharing profits in the ratio of 3: 2. They had advanced to the firm a sum of Rs. 30,000 as a loan in their profit-sharing ratio on 1st October, 2021. The Partnership Deed is silent on interest on loans from partners. Compute interest payable by the firm to the partners, assuming the firm closes its books every year on 31st March. September 16, 2022 A and B are in partnership sharing profits and losses in the ratio of 3 : 2. They admit C, their manager, as a partner with effect from 1st April, 2020, for 1/4th share of profits. C, while a Manager, was in receipt of a salary of Rs. 27,000 p.a. and a commission of 10% of the net profits after charging such salary and commission. In terms of the Partnership Deed, any excess amount, which C will be entitled to receive as a partner over the amount which would have been due to him if he continued to be the manager, would have to be personally borne by A out of his share of profit. Profit for the year ended 31st March, 2020 amounted to Rs. 2,25,000. You are required to show Profit and Loss Appropriation Account for the year ended 31at March, 2020. July 22, 2022 If a fixed amount is withdrawn on the last day of every month, for what period the interest on total drawings will be calculated? September 23, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Sita and Geeta are partners in a firm sharing profits in the ratio of 3: 2. They had advanced to the firm a sum of Rs. 30,000 as a loan in their profit-sharing ratio on 1st October, 2021. The Partnership Deed is silent on interest on loans from partners. Compute interest payable by the firm to the partners, assuming the firm closes its books every year on 31st March. September 16, 2022
A and B are in partnership sharing profits and losses in the ratio of 3 : 2. They admit C, their manager, as a partner with effect from 1st April, 2020, for 1/4th share of profits. C, while a Manager, was in receipt of a salary of Rs. 27,000 p.a. and a commission of 10% of the net profits after charging such salary and commission. In terms of the Partnership Deed, any excess amount, which C will be entitled to receive as a partner over the amount which would have been due to him if he continued to be the manager, would have to be personally borne by A out of his share of profit. Profit for the year ended 31st March, 2020 amounted to Rs. 2,25,000. You are required to show Profit and Loss Appropriation Account for the year ended 31at March, 2020. July 22, 2022
If a fixed amount is withdrawn on the last day of every month, for what period the interest on total drawings will be calculated? September 23, 2022