Category: KEY DIFFERENCES

DIFFERENCE BETWEEN DISSOLUTION OF FIRM AND DISSOLUTION OF PARTNERSHIP

June 28, 2019 commerceiets No Comments

DISSOLUTION OF PARTNERSHIP FIRM Dissolution of Partnership Firm means the firm closes down its operations and comes to an end. On the dissolution of the firm, the assets of the firm are sold and liabilities are paid off. The balance, if any, is paid to the partners in settlement of their accounts. If there is…

12 ACCOUNTANCY, KEY DIFFERENCES, PARTNERSHIP ACCOUNTS

AVERAGE PROFIT VS. SUPER PROFIT – METHODS OF GOODWILL

June 15, 2019October 30, 2026 commerceiets No Comments

AVERAGE PROFIT Average profit is the average of all the agreed profits of past years. It is calculated by dividing the total profits by the number of years. This is the most common method of calculating goodwill. AVERAGE PROFITS= Total Profits / Number of years A buyer always wants to estimate the future profits of…

12 ACCOUNTANCY, KEY DIFFERENCES, PARTNERSHIP ACCOUNTS