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Super profit
what is the concept behind super profit method and capitalisation of super profit method?
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https://www.caclubindia.com/experts/valuation-of-goodwill-569600.asp
Super profit method calculates goodwill. Capitalised method calculates goodwill using either capitalising super profits or normal average profits. The rationale behind this is not published.
Example for super profit supppse that A and B both having same knowledge but A having CA degree therefore A earn more due to having degree .....
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