Rajan and Rajani ar partners in a firm. ...

Rajan and Rajani ar partners in a firm. Their capitals were Rajan Rs. 3,00,000, Rajani Rs. 2,00,000. During the year 2018 - 2019, the firm earned a profit of Rs. 1,50,000. Calculate the value of goodwill of the firm by capitalisation of super profit assuming that the normal rate of return is `20%`.

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Value of Goodwill - Rs. 2,50,000.

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