Q25. The correct sequence involved in calculation of goodwill by weighted average profit method is:

Q: What is the correct answer for CUET UG Accountancy Q25?

The correct answer is A. The correct sequence involved in calculating goodwill by the weighted average profit method is as follows:A. Adjust the profit taking into account abnormal gain/losses (This is the first step to get normal business profits).C. Assign weight to each year's profit (After adjusting profits, weights are assigned).E. Find out weighted profit (Weighted profit = Adjusted Profit × Weight).D. Find out weig

Q: Q25. The correct sequence involved in calculation of goodwill by weighted average profit method is: A. Adjust the profit taking into account abnormal gain/losses. B. Multiply the weighted average…

The correct answer is A. The correct sequence involved in calculating goodwill by the weighted average profit method is as follows:A. Adjust the profit taking into account abnormal gain/losses (This is the first step to get normal business profits).C. Assign weight to each year's profit (After adjusting profits, weights are assigned).E. Find out weighted profit (Weighted profit = Adjusted Profit × Weight).D. Find out weig

Q: What are the options for this CUET UG Accountancy question?

A. A, C, E, D, B · B. A, B, C, D, E · C. B, C, D, E, A · D. C, D, E, A, B

Question

Q25. The correct sequence involved in calculation of goodwill by weighted average profit method is:
A. Adjust the profit taking into account abnormal gain/losses.
B. Multiply the weighted average profit by number of years of purchase.
C. Assign weight to each year's profit
D. Find out weighted average profit by dividing total weighted profit by total weight.
E. Find out weighted profit.
Choose the correct answer from the options given below:
(a) A, C, E, D, B
(b) A, B, C, D, E
(c) B, C, D, E, A
(d) C, D, E, A, B

FirstInTest · Accepted Answer

The correct sequence involved in calculating goodwill by the weighted average profit method is as follows:A. Adjust the profit taking into account abnormal gain/losses (This is the first step to get normal business profits).C. Assign weight to each year's profit (After adjusting profits, weights are assigned).E. Find out weighted profit (Weighted profit = Adjusted Profit × Weight).D. Find out weighted average profit by dividing total weighted profit by the total weight.B. Multiply the weighted average profit by the number of years of purchase (This gives the value of goodwill).

Answer

A, C, E, D, B

Answer

A, B, C, D, E

Answer

B, C, D, E, A

Answer

C, D, E, A, B

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