Question : Sudhir Ltd. took over Assets of Rs.8,50,000 and Liabilities of Rs.1,50,000 of Gopal Ltd. at an agreed price of Rs.7,20,000. The purchase consideration was discharged by issuing 12% debentures of Rs.100 each at a premium of 20%.
Question:- Rs 20,000 will be
Option 1: Credited to goodwill account
Option 2: Debited to goodwill account
Option 3: Debited to discount on issue of debentures account ‘
Option 4: Debited to loss on issue of debentures account
Correct Answer: Debited to goodwill account
Solution : Answer = Debited to goodwill account
Assets A/ c Dr 8,50,000
Goodwill A/c Dr (balancing figure ) 20,000
To Liabilities 1,50,000
To Gopal Ltd 7,20,000
Hence, the correct option is 2.
