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various methods of goodwill valuation?
various methods of goodwill valuation?
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There are different methods of valuation of goodwill for a business and the valuation method to be used by the business depends on the assumptions made by the valuer.
The choice of the method of goodwill is solely based on the partnership deed that is made at the time of forming a partnership.
The various methods of goodwill valuation are:
1. Average profit method
2. Super profit method
3. Capitalisation Method
4. Annuity method