Read the following passage and answer the question.
Ravi, Kavi and Sunny are partners in a firm sharing profits and losses in the ratio 4 : 2 : 3. On 1st April 2022, Sunny gives notice for his retirement. His share was taken by Ravi and Kavi in 13 : 11 and goodwill of the firm was valued at ₹ 72000.
After three months, they admit Hari as a new partner for $\frac{1}{5}$th share in firm who brings ₹ 2,00,000 as capital and necessary amount for goodwill in cash which was valued ₹ 80,000 for the firm. Hari acquired his share equally from Ravi and Kavi.
Select the amount brought by Hari in cash as premium for goodwill on his admission to the partnership firm.
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) - ₹ 16,000.
Goodwill of the firm = 80,000
Hari's share = 1/5
Hari's share in goodwill = 80,000 x 1/5
= 16,000