Question
Calculate the value of goodwill of a company based on 2 years purchase of the super profit for the last 5 years. Given data Net
Calculate the value of goodwill of a company based on 2 years’ purchase of the super profit for the last 5 years.
Given data
Net Profit for
Year 1 - $50,000
Year 2 - $45,000
Year 3 - $50,000
Year 4 - $55,000
Year 5 - $60,000
The capital employed is $100,000 and normal rate of return is 6%.
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Discrete Time Signal Processing
Authors: Alan V. Oppenheim, Rolan W. Schafer
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