The adjusted net profit of a business is Rs. 2,00,000 and the amount of capital employed is Rs. 12,50,000. If goodwill is to be calculated on basis of 3 year purchase of super profit and the normal rate of return is 10% then the value of goodwill will be
A. Rs. 20,00,00
B. Rs. 22,50,00
C. Rs. 25,00,00
D. Rs. 30,00,00
Answer: Option B
This Question Belongs to Commerce >> Accounting
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