On the basis of the information given answer the question below :
Akhil, Karan and Sakshi are partners sharing profits in the ratio 5 : 3 : 2. Goodwill already appear in the books ₹60,000. Karan decided to retire from the firm. Goodwill of the firm was valued at ₹2,40,000. Existing partners decided to share profits in the ratio 3 : 2.
Karan will be credited on account of Goodwill with:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) - ₹72,000.
Goodwill = 2,40,000
Karan share = 3/10
Karan share in goodwill = 2,40,000 x 3/10
= ₹72,000