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You are required to value the goodwill of the following business via Capitalisation of Super Profits Method, with the following provided information (Rounded): Capitalisation
You are required to value the goodwill of the following business via Capitalisation of Super Profits Method, with the following provided information (Rounded): Capitalisation Rate: 3.5% Average trading after allowing for wages and remuneration: $110,000 Value of Net tangible assets $13,000 Value the goodwill using 8% per annum What is the value? A. $1,350,000 O B. $3,100,000 OC. $3,175,000 D. $3,000,000
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Understanding financial statements
Authors: Lyn M. Fraser, Aileen Ormiston
9th Edition
136086241, 978-0136086246
