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Under capitalisation basis goodwill is calculated by: 
  • a)
    No. of years purchased multiplied with average profits
  • b)
    No. of years Purchased multiplied with super profits
  • c)
    Summation of the discounted value of expected future benefits
  • d)
    Super profit divided with expected rate of return
Correct answer is option 'D'. Can you explain this answer?
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Under capitalisation basis goodwill is calculated by:a)No. of years pu...
Super profit divided with expected rate of return
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Under capitalisation basis goodwill is calculated by:a)No. of years purchased multiplied with average profitsb)No. of years Purchased multiplied with super profitsc)Summation of the discounted value of expected future benefitsd)Super profit divided with expected rate of returnCorrect answer is option 'D'. Can you explain this answer?
Question Description
Under capitalisation basis goodwill is calculated by:a)No. of years purchased multiplied with average profitsb)No. of years Purchased multiplied with super profitsc)Summation of the discounted value of expected future benefitsd)Super profit divided with expected rate of returnCorrect answer is option 'D'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Under capitalisation basis goodwill is calculated by:a)No. of years purchased multiplied with average profitsb)No. of years Purchased multiplied with super profitsc)Summation of the discounted value of expected future benefitsd)Super profit divided with expected rate of returnCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Under capitalisation basis goodwill is calculated by:a)No. of years purchased multiplied with average profitsb)No. of years Purchased multiplied with super profitsc)Summation of the discounted value of expected future benefitsd)Super profit divided with expected rate of returnCorrect answer is option 'D'. Can you explain this answer?.
Solutions for Under capitalisation basis goodwill is calculated by:a)No. of years purchased multiplied with average profitsb)No. of years Purchased multiplied with super profitsc)Summation of the discounted value of expected future benefitsd)Super profit divided with expected rate of returnCorrect answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation. Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
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