Calculate firm's goodwill from the following information-

Super profit - ₹20,000
Normal Profit - ₹10,000
Normal Rate of Return - 20%

₹1,00,000

According to capitalisation of super profit method, Goodwill = (Super Profit X 100) / Normal rate of return

So, Goodwill  = (20,000 X 100)/ 20
                    = 20,00000/20
                    = 1,00,000