alleryStart learning →Shares of fair value Rs 5,00,000 plus Rs 1,00,000 cash for net assets Rs 5,40,000. Goodwill?
ARs 1,00,000
BRs 60,000
CRs 40,000
DRs 1,40,000
Answer & Solution
Correct answer: B. Rs 60,000
Consideration is 5,00,000 plus 1,00,000 cash, which is 6,00,000; subtracting net assets of 5,40,000 leaves 60,000.
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