The total capital of the firm of Sakshi Mehak and Megha is 1 00 000 and the market rate of interest ......

The total capital of the firm of Sakshi, Mehak and Megha is 1,00,000 and the market rate of interest is 15%. The net profits for the last 3 years were 30,000; 36,000 and 42,000. Goodwill is to be valued at 2 years' purchase of the last 3 years' super profits. Calculate the goodwill of the firm.

By: NIHARIKA WALIA