Important Questions for Class 12 Accountancy

Answer: The two features of goodwill are (1) It is an intangible asset. It does not have any physical existence (2) It helps in earning higher profits

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Answer: Purchased goodwill is that goodwill which is acquired by a firm for a consideration, whether paid in cash or kind.

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Answer: Self-generated goodwill is the goodwill which is not purchased for consideration but is earned by the efforts of the management or partners.

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Answer: The two features of purchased goodwill are: (1) It arises on the purchase of a business (2) It is shown in the Balance Sheet as an asset

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Answer: The two features of self-generate goodwill are: (1) It is generated internally, generally over the years (2) Self generated goodwill is not recorded in the books of accounts

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Answer: The formula for super profit method is: Super Profit= Average maintainable profits – Normal Profit

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Answer: The sacrificing share of each partner is calculated as follows: Sacrificed Share= Old Share – New Share

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Answer: The gaining share of each partner is calculated as follows: Gaining Share= New Share – Old Share

[{"selector":"#anim-6b364f75-271b-47e3-8187-62d119a9bef6","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-5d93e613-c251-40a2-8011-26c63f5477fd","keyframes":{"transform":["translate3d(-104.71204%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Learn more

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Important Questions for Class 12 Accountancy

Answer: The two features of goodwill are (1) It is an intangible asset. It does not have any physical existence (2) It helps in earning higher profits

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Q1. Give two features of goodwill.

Answer: Purchased goodwill is that goodwill which is acquired by a firm for a consideration, whether paid in cash or kind.

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Q2. What is purchased goodwill?

Answer: Self-generated goodwill is the goodwill which is not purchased for consideration but is earned by the efforts of the management or partners.

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Q3. What is self-generated goodwill?

Answer: The two features of purchased goodwill are: (1) It arises on the purchase of a business (2) It is shown in the Balance Sheet as an asset

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Q4. State two features of purchased goodwill.

Answer: The two features of self-generate goodwill are: (1) It is generated internally, generally over the years (2) Self generated goodwill is not recorded in the books of accounts

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Q5. State two features of self-generated goodwill.

Answer: The formula for super profit method is: Super Profit= Average maintainable profits – Normal Profit

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Q6. Give the formula for super profit method.

Answer: The sacrificing share of each partner is calculated as follows: Sacrificed Share= Old Share – New Share

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Q7. How sacrificing the share of each partner is calculated.

Answer: The gaining share of each partner is calculated as follows: Gaining Share= New Share – Old Share

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Q8. How gaining share of each partner is calculated.

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