why goodwill is not revalued using revaluation account
 

At the time of change in profit sharing ratio, the adjustment for goodwill relates to self-generated goodwill. As per AS-26, self-generated goodwill is not recognised as an asset and consequently it cannot be recorded in the books of accounts. Therefore, adjustment for goodwill is not done through Revaluation Account.

  • 4
What are you looking for?