WAEC Accounting 2017 Objective — Question 36
Question 36 of 50 from the West African Examinations Council (WAEC) Accounting 2017 Objective paper, with the correct answer and a full explanation.
Advertisement
36. Goodwill may be brought into the books when a new partner
- A. A. retires
- B. B. assets are more than liabilities
- C. C. profit for the period is high
- D. D. is admittedCorrect
Explanation
When a new partner is introduced, the assets are revalued. This create goodwill in most cases.
Advertisement
Sign up free to unlock
- Score tracking
- Practice history
- Saved questions
- Progress dashboard
- Personalized sessions
- Weak-topic breakdown
…and/or go further with premium services and No Ads.