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what is good will and what are the different types of good
will
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Answer Posted / arun bijlwan
goodwill is very easy to think od but difficult to
define.It is the benifit and advantage of the good name,
reputation and connections of a business.
Goodwill can be classified into two categories:
(i) Purchase Goodwill: is the goodwill that is acquired by
making a payment. For example, when a business is
purchased , the excess of purchased consideration of its
net asset ( i.e. assets - liability )is purchase goodwill
(ii) Self Generated Goodwill: It is an internally generated
goodwill which arises from a number of attributes that a
running business possesses.
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