What is meant by “Hidden Goodwill”? (C.B.S.E. 2017, Comptt.) Post category:Accountancy Reading time:1 mins read SOLUTION When the value of goodwill of the firm is not given but has to be inferred on the basis of net worth of the firm, it is called hidden 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 PostUnder what circumstances premium for goodwill paid by the incoming partner would never be recorded in the books of account? Next PostWhy should a new partner contribute towards goodwill on his admission? (C.B.S.E. 2017, Comptt.) You Might Also Like Compute Gross Profit Ratio from the following information: Cost of Revenue from Operations (Cost of Goods Sold) Rs. 5,40,000; Revenue from Operations (Net Sales) Rs. 6,00,000. August 16, 2022 Current Assets are Rs. 7,50,000 and Working Capital is Rs. 2,50,000. Calculate Current Ratio. August 10, 2022 Asha, Naveen and Shalini were partners in a firm sharing profits in the ratio of 5 : 3 : 2. Goodwill appeared in their books at a value of Rs. 80,000 and General Reserve at Rs. 40,000. Naveen decided to retire from the firm. On the date of his retirement, goodwill of the firm was valued at Rs. 1,20,000. The new profit-sharing ratio decided among Asha and Shalini is 2 : 3. Record necessary Journal entries on Naveen’s retirement. August 3, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Compute Gross Profit Ratio from the following information: Cost of Revenue from Operations (Cost of Goods Sold) Rs. 5,40,000; Revenue from Operations (Net Sales) Rs. 6,00,000. August 16, 2022
Current Assets are Rs. 7,50,000 and Working Capital is Rs. 2,50,000. Calculate Current Ratio. August 10, 2022
Asha, Naveen and Shalini were partners in a firm sharing profits in the ratio of 5 : 3 : 2. Goodwill appeared in their books at a value of Rs. 80,000 and General Reserve at Rs. 40,000. Naveen decided to retire from the firm. On the date of his retirement, goodwill of the firm was valued at Rs. 1,20,000. The new profit-sharing ratio decided among Asha and Shalini is 2 : 3. Record necessary Journal entries on Naveen’s retirement. August 3, 2022