Answer Posted / fahmeeda banu

Goodwill is the Reputation of the Company Coz of its
Quality and Good name earned in the market ... some times
goodwill is purchased by the company , It is an Intangible
asset.

Goodwill is always entered in the Asset side of Balance
sheet Under the head Fixed Assets , it is treated as an
fixed asset , if it is purchased its value is written off
per year .

It no where appears in the Liability of side of balance
sheet coz it is treated as an asset ... if so purchased
then can written off in debit side of profit and loss
account.

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