Question : Weighted average profit method of calculating goodwill is used when

Option 1: Profits are unequal

Option 2: Profits are fluctuating

Option 3: Profit shows a trend

Option 4: None of the above

Question : Following are the methods of calculating goodwill except:

Option 1: Super profit method

Option 2: Average profit method

Option 3:  Weighted Average Method

Option 4: Capital profit method

Question : Under the Capitalisation Method of valuation of Goodwill, the formula for calculating goodwill is:

Option 1: Super profits multiplied by the rate of return

Option 2: Average profits multiplied by the rate of return

Option 3: Super profits are divided by the rate of return

Option 4: Average profits divided by the rate of return

Question : Under which method of valuation of goodwill, normal rate of return is not considered?

Option 1: Average profit method

Option 2: Capitalisation method

Option 3: Super profit method

Option 4: All of these

Question : Increase in value of Goodwill means___________

Option 1: Goodwill purchased

Option 2: Non purchased goodwill ( self - Generated goodwill )

Option 3: Both 1 and 2

Option 4: None of the above