Sumit pruchased Amit's business on 1st april, 2019, Goodwill was decided to be valued at two years' purchase of average normal profit of last four years. The profits for the past four years were:

Books of Account revealed that:
(i) Abnormal loss of Rs. 20,000 was debited to Profit and Loss Account for the year ended 31st March, 2016.
(ii) A fixed asset was sold in the year ended 31st March, 2017 and gain (Profit) of Rs. 25,000 was credited to profit and Loss Account.
(iii) In the year ended 31st March, 2018 assets of the firm were not insured due to oversight. Insurance premium not paid was Rs. 15,000.
Calculate the vlaue of goodwill.

From the following information of a trader, prepare his Profit and Loss Account for the year ended 31st March, 2019

From the following information, prepare Profit and Loss Account for the year ended 31st March, 2019:

Geet and Meet are partners in a firm. They admit Jeet into partnership for equal share. It was agreed that goodwill be valued at three years' purchase of average profit of last five years. Profits for the last five years were: Books of Account of the firm revealed that: (i) The firm had gain (profit) of Rs. 50,000 from sale of machinery sold in the year enced 31st March, 2016. The gain (profit) was credited in Profit and Loss Account. (ii) There was an abnormal loss of Rs. 20,000 incurred in the year ended 31st March, 2017 because of a machine becoming obsolete in accident. (iii) Overhauling cost of Second hand machinery purchased on 1st july, 2017 amounting to Rs. 1,00,000 was debited to Repairs Account. Depreciation is charged @ 20% p.a on Writtern Down Value Method. Calculate the value of goodwill.

From the following Trial Balance, Prepare Trading and Profit and Loss Account for the year ended 31st March, 2019 and Balance Sheet as at that date: On 31st March, 2019 the stock was valued at Rs 1,00,000