Identify from the following when goodwill is required to be calculated. Change in profit sharing ratio

A. Change in profit sharing ratio

B. Admission of a partner

C. Dissolution of Partnership firm

D. Amalgamation of partnership firms

E. Preparation of Balance Sheet

Choose the correct answer from the options given below:

At the time of admission of a new partner, goodwill is adjusted because:

Ram and Sita are partners in a firm sharing profits in the ratio of 4:1. On April 15, 2025 they admit Naarad as a new partner. On that date, there was a balance of Rs. 25,000 in general reserve and a debit balance of Rs. 10,000 in the profit and loss account of the firm. The journal entry regarding the adjustment of a profit or loss will be:

What are the main factors affecting the value of goodwill?

(A) Nature of business

(B) Location

(C) Efficiency of management

(D) Market situation

Choose the correct answer from the options given below:

Anil and Bharat are partners in a firm with capitals of Rs. 18,00,000 and Rs. 12,00,000 respectively. Normal rate of return is 15% and goodwill calculated at 2 years' purchase of super profits is valued at Rs. 6,00,000. The average profits of the firm would be:

P, Q and R are partners in a firm. If S is admitted as a new partner then:

The profits of firm for the five years are as follows:

Calculate the value of goodwill on the basis of three years' purchase of average profits.