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Answer Posted / pramina dahiya
goodwil is a type of intangible asset.at the time of
selling this business whatever extra (more then the
business price)you are getting that's your goodwill value.
for example:- A business is running over the period of
20yrs. now you are selling this business to other person &
your business price is 250000/- but you are getting 300000/-
then difference amt 500000/- is the value of goodwill.
Accounting method of calculating Goodwill :-
Writteoff method
CApitalization method
Amortization method
Non-Amortization method
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