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Kofi and Kwame entered into a partnership and Kwame contributed a cheque of GHC280,000 and his computers worth GHC100,000 as his capital. Kofi also introduced
Kofi and Kwame entered into a partnership and Kwame contributed a cheque of GHC280,000 and his computers worth GHC100,000 as his capital. Kofi also introduced GHC200,000 as his capital contribution. They share profits and losses in the ratio, 2:1 respectively. Before the partnership, Kofi gave up his job where earned GHC3,000 per month. Kwame also gave up his job where he earned GHC2,500 per month. P 2 The expected rate of return available to Kofi and Kwame is 28%. JE The profits of Kofi and Kwame's partnership for the last 3 years have been: GHC240,000; GHC210,000 and GHC310,000. Required: Use the above information to determine goodwill value of Kofi and Kwame's partnership if it values goodwill by 2 years purchase of super profit. (15 marks)
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