Question : The profits of last three years are Rs.4,20,000, Rs.3,90,000 and Rs.4,50,000. Capital employed is Rs.40,00,000 and normal rate of return is 10%. The amount of goodwill calculated on the basis of super profit method for three years of purchase will be:

Option 1: Rs.80,000  

Option 2: Rs.40,000

Option 3: Rs.20,000

Option 4: Rs.60,000

Question : The profits earned by a business over the last 5 years are as follows: Rs.12,000; Rs.13,000; Rs.14,000; Rs.18,000 and Rs.2,000 (loss). Based on two years purchase of the last 5 years profits, value of goodwill will be:

Option 1: Rs.23,600

Option 2: Rs.22,000

Option 3: Rs.1,10,000

Option 4: Rs.1,18,000

Question : A firm earned average profit of Rs.45.000. Rate of return on capital employed is 12% p.a. Total capital employed is Rs.4,00,000. Goodwill on the basis of two years purchase of super profit is:

Option 1: Rs.6,000

Option 2: Rs.12,000

Option 3: Rs.18,000

Option 4: None of these

Question : The profits earned by a business over the  last 5 years are as follows:

Rs 24,000, Rs 26,000, Rs 28,000  Rs 36,000 and Rs 4,000 (loss) based on 2 years' purchase of last 5 years' profits. Value of goodwill will be:

Option 1: Rs 47,200

Option 2: Rs 44,000

Option 3: Rs 2,20,000

Option 4: Rs 2,26,000

Question : Capital invested in a firm is Rs. 10,00,000. Normal Rate of Return of 10%. The average profits of the firm are Rs. 1,28,000 (after an abnormal loss of Rs. 8,000). Value of Goodwill at  two years' purchase of Super Profit will be

Option 1:  Rs. 72,000

Option 2: Rs. 40,000

Option 3: Rs. 2,40,000

Option 4: Rs. 1,80,000