DOUBT

answered on 07-May-25 11:04

is the formula for post tax PAT/TA or EBIT -TAX / TA because with difference in formula the answer is different PAT/TA=64000/800000=8% OR EBIT-TAX/TA= 160000-(160000 X 50%) =10%

latest answer

They will specify in exam what they want. If they do not then give alternative answers

Maanavi Haran

CA Inter

★ 840

1

46

Investment Decision

answered on 06-May-25 15:00

In this question(RTP Jan25) can anybody tell me why did they charge depreciation in 5th year also, when the only asset in the block sales more than its opening wdv of the 5th year. Why not the calculation like this? Opening WDV of 5th Year - 348.16 (850-170-136-108.08-87.04) Sale value - (140) STCL will be - 208.16 The tax savings on loss will be - 31.224 (208.16*15%)

latest answer

Ok sir Thank you

Arun Cp

CA Inter

★ 6K+

4

54

Rm,oh,wages

answered on 05-May-25 16:26

31.27 Overheads &wages are outstanding right which is current liabilities At same time payment of rm 1month credit term which before computation also sir said 675000 is current liability But Why should we wrote on current assets side

latest answer

Because production of goods takes place one month before sales and that amt is inventory

anju B

CA Inter

★ 21K+

1

38

Rm

answered on 05-May-25 16:25

Given that rm ----cr.term------> same month But in illustration given -------> rm purchases are on 1month credit that means?

latest answer

Yes

anju B

CA Inter

★ 21K+

2

44

Interest

answered on 04-May-25 06:37

Intrest should be 360000₹ only right because it's starts from August Then why we calculating as per 12months i.e, 540000

latest answer

For current year it is for 8 months After project is implemented in the next year it will be for full 12 months

anju B

CA Inter

★ 21K+

1

35

Total EBIT

answered on 03-May-25 12:51

Total EBIT= 14.4%×200L(i.e, old EBIT already exists)+17.4 %× 30L -------------> I calculated But in question total EBIT = 17.4% ×230 L (not byforgetting @1st 14.4% and for additional requirement 17.4%) Can you please explain it sir

latest answer

When they say ROCE increases by 3% it means for whole co & not for just new investment

anju B

CA Inter

★ 21K+

1

38

Is it fill in the blank or assumption that no debt,no equity to B ,A

answered on 03-May-25 04:44

Are they are fill in the blanks that which we compute Or In B ltd there is no debt In A ltd there is no equity? But in this problem Fill in the blank is given only for Altd computation of equity But not for Bltd which is assumed to be unlevered co.

latest answer

There can be no company without equity On the unknown numbers / blanks , this is an older question Questions have been more clearer in recent exams worry not

anju B

CA Inter

★ 21K+

1

40

VL= S+ D

answered on 03-May-25 12:47

@4 VU=VL=100L But in this formula VL = S +D = Only debt 54L Answers not tally ?

latest answer

It is tallying Eq 46 & debt 54

anju B

CA Inter

★ 21K+

1

33

EBIT total

answered on 02-May-25 15:34

@1:38 we thought that ebit existing 15+ EBIT new 15 Since, assuming no immediate increase in profitability i.e, new also 15 What can I do in exam sir , How I overcome this terminology problem to score good marks in exam sir

latest answer

They said no immediate increase in profitability right? Pls read Q carefully that is the only way

anju B

CA Inter

★ 21K+

1

32

DOUBLE SHIFT WC REQUIREMENT

answered on 03-May-25 11:02

Sir can you explain clearly why wip units do not change with an example or something

latest answer

thank you sir.. understood now... crystal clear clarity

Preethi S

CA Inter

★ 2K+

2

52