214. When goodwill is to be treated as an asset.

Generally, the firm's goodwill is treated as one of its assets1 and the fact that it is not included in the annual balance sheet drawn up for the firm does not mean that it does not exist as such a partnership asset2. Where, however, the value of the share of a deceased partner is by agreement governed by the firm's annual balance sheet, and such balance sheet in accordance with the partnership agreement does not include the firm's goodwill as an asset, his estate is not entitled to treat the goodwill as an asset