Excel & Co. wants to determine the value of goodwill based on two years' purchase of the average profits from the last three financial years. The firm's profits were: 2020 $45,000 - . 2021-$55,000 .2022 - $50,000 Calculate the amount of goodwill.

Excel & Co. wants to determine the value of goodwill based on two years' purchase of the average profits from the last three financial years. The firm's profits were: 2020 $45,000 - . 2021-$55,000 .2022 - $50,000 Calculate the amount of goodwill.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 8PA: Referring to PA7 where Kenzie Company purchased a 3-D printer for $450,000, consider how the...

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Please provide the accurate answer to this general accounting problem using appropriate methods.

Excel & Co. wants to determine the value of
goodwill based on two years' purchase of the
average profits from the last three financial years.
The firm's profits were:
2020 $45,000
-
. 2021-$55,000
.2022 - $50,000
Calculate the amount of goodwill.

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