Blue Prints Ltd., purchased a building worth ₹1,50,000, machinery worth ₹1,40,000, and furniture worth ₹10,000 from XYZ Co. for a purchase consideration of ₹3,15,000. What will be the amount of goodwill?
Answer & explanation
Correct answer: option 2
The correct answer is option 2- ₹15,000.
Since the purchase consideration is more than the net assets taken over, the difference has been debited to the goodwill account.
Purchase consideration = ₹3,15,000
Net assets = Building + Machinery + Furniture
=1,50,000 + 1,40,000 +10,000
= ₹3,00,000
Goodwill = Purchase consideration - net assets
= 3,15,000 - 3,00,000
= ₹15,000