alleryStart learning →A firm paid Rs 50 lakh for a business whose net assets at fair value were Rs 38 lakh. Goodwill is?
ARs 12 lakh
BRs 88 lakh
CRs 38 lakh
DRs 50 lakh
Answer & Solution
Correct answer: A. Rs 12 lakh
Goodwill is price paid less fair value of identifiable net assets, 50 minus 38 = 12 lakh.
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