Goodwill valuation - Closing capital vs avg. capital employed

CA Gopal Somani (Consultant) (2057 Points)

12 April 2017  

Hi Everyone !

Many students have doubt that in Valuation of Goodwill which capital employed has to be used, Closing capital Employed or Average Capital employed. In some of the study material also no consistence approach is followed. I have created a video explaining which capital to be used in different scenario. Below is the link -

https://youtu.be/jBTmietpoQU

Please check and let me know if you have any queries.