Match List-I with List-II

List-I	List-II
(Types of goodwill)	(Treatment to done.)
(a) Existing Goodwill.	(I) no entry passed.
(B) Goodwill premium	(II) inferred from the capital arrangement.
(C) Goodwill paid privately.	(III) Written off.
(D) Hidden goodwill	(IV) credited to sacrificing partner.

Choose the correct answer from the options given below:

Looking at each type of goodwill and its accounting treatment:

(A) Existing Goodwill → (III) Written off

Existing goodwill appears in the books of the firm. When there is admission, retirement, or death of a partner, it must be written off by debiting all partners' capital accounts in their old profit sharing ratio and crediting Goodwill Account.

(B) Goodwill Premium → (IV) Credited to sacrificing partner

When a new partner brings goodwill (premium for goodwill), it is distributed to the old partners who sacrifice their share. The amount is credited to the sacrificing partners' capital accounts in their sacrificing ratio. This compensates them for giving up a portion of their share in profits.

(C) Goodwill paid privately → (I) No entry passed

When goodwill is paid by the new partner directly to the old partners outside the firm's books, no journal entry is recorded in the firm's books. This is a private transaction between partners that doesn't affect the firm's accounts.

(D) Hidden Goodwill → (II) Inferred from capital arrangement

Hidden (or implied) goodwill is not explicitly mentioned but is calculated based on the capital brought in by the new partner and the agreed profit sharing ratio.

For example, if a new partner brings ₹30,000 for 1/4th share, the total capital of the firm = ₹30,000 × 4 = ₹1,20,000. If existing partners' capital is less than ₹90,000 (3/4th of ₹1,20,000), the difference represents hidden goodwill.

Correct matching: (A)-(III), (B)-(IV), (C)-(I), (D)-(II)