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Advanced capital Budgeting

AFM

answered on 10-Sep-26 21:47

Sir in qn 37. we are deciding whether to replace after 1 year or 2 year. in such case replacement cost of 55000 will be spent in year 1 and 2 respectively and we have to discount using 0.909 and 0.826. instead of doing this why 55000 is considered as outflow in year 0 [Video Time Stamp: 01:06:24]

latest answer

We are computing EAC for following 3 options we buy a vehicle in year 0 and replace it at end of year 1, or replace at end of year 2 or year 3 in all 3 cases the vehicle is purchased on day 0 we are computing Equalised cost incurred in all 3 cases to check when is the lowest cost incurred i.e when life of bike is 1,2 or 3 years The way we have solved is diff and the way you are looking at it is diff

AGALYA KANNAN

AGALYA KANNAN

CA Final

0

1

23

AS 27 Joint venture

Accountancy

answered on 11-Sep-26 09:54

so in the last question i.e the sep 2024 question 5 in the suggested answer shown in this video they reduced the unrealized profit in analysis of profit, but the suggested answer which is available now in the ICAI official website they did not consider the unrealized profit.what is the actual way to approach?

latest answer

Ideally it should not be adjusted at the time of computation of net assets since it's a pre acquisition transaction. However, at the time of consolidation, the inventory should be stated at cost to the group. IN the latest CA final May 26 exams, ICAI has considered inventory value as at balance sheet date for computation of Goodwill. Subsequently unrealised profits have been eliminated. We can follow the same.

AKSHAI KEERTHI

AKSHAI KEERTHI

CA Inter

4K+

1

26

Discounted cash flows

AFM

answered on 10-Sep-26 17:24

Hi Sir, In case of taking discounted cash flows, why are we not adding the debt component. That is since we require FFCF .. it would be FCFE+ debt for all years right? [Video Time Stamp: 01:00]

latest answer

We add debt when we have to find out EV when we have to find out equity value then fcfe is only used

Varshini Rao

Varshini Rao

CA Final

1K+

1

16

Fsa

CFA

answered on 12-Sep-26 08:09

The answer says the currency exposire is not a part of CAMELS approach, but indeed it is part of Sensitivity (S) of camels, why is there a contradiction here

latest answer

In this example the bank doesn’t seem to have foreign currency loan/deposit exposure. That is the reason it is mentioned that it would not be covered. But as you rightly pointed out currency exposure is also included in sensitivity. I think the question is asking for this specific case.

Kaarthick Abishek

CFA L1

0

1

27

Result

Others

answered 2 days ago

Sir i am very confused kii abb m inter ki tyri kru ya jan attempt ki kyuki i am 100% sure ki m accounts eco qa m pass with 60+ but i am not sure about law...i have attempted 48M paper and somewhere i used almost keywords and proper pattern kuch thdi bht mistakes hui h bss jse last m hand writing thdii si and ek queastion m bs section wrong likhdia baki sb shii h question wrong nhi h khin b presentation b according h ICAI k butt frr b i am not suree hui to bs itni hi mistake h kii ek question m section glt h orr bakii last k ek question mthdi si writing gadbad hui h to plsss tell me now what i am to do after rest for 1 week??

latest answer

like i have done those mistakes which i told u earlier so are there no chances of being pass....like if i have used heywords and the pattern as well like provision fact of case analysis conclusion soo tb b chances nhi h...pls tell sir ?

Sunakshi Sharma

Sunakshi Sharma

CA Foundation

5

5

39

AS 2

Accountancy

answered on 11-Sep-26 09:59

Explain these 2 question about value of cl stock rate

latest answer

You can watch the solutions here https://youtu.be/eNHiDAitO24?t=4162

Sameer Chammi

Sameer Chammi

CA Inter

40

3

51

CDS

CFA

answered on 09-Sep-26 20:45

Sir, in cds , "long cds" means you are buying protection or you are selling protection?

latest answer

Buying protection

Kaarthick Abishek

CFA L1

0

1

25

Subsidiary Books

Accountancy

answered on 11-Sep-26 10:10

Sir, How we identify whether the given entry is either cash or credit transaction??

latest answer

Cash transactions - it would be mentioned as paid, purchased on cash, For credit transactions - The question would say purchased from Mr. X but does not mention about payment.

Gangula Pavana kumari

Gangula Pavana kumari

CA Foundation

870

2

41

AI hedge funds

CFA

answered on 09-Sep-26 20:34

explain volatility trading stratergy by hedge funds and how it works i cant understand

latest answer

Volatility traders make money primarily by exploiting the mispricing between Implied Volatility and Realized Volatility or by trading pure volatility instruments. ong Volatility Strategies (Betting on Turbulence) Traders use these strategies when they expect large market swings, market shocks, or economic turmoil. Long Straddle / Long Strangle: Buying both a call option and a put option on the same underlying stock or index with the same expiration date. How it works: If the stock moves significantly in either direction, the profit on the winning option far outweighs the limited premium paid for both options.

Dhakshana Dhakshana

Dhakshana Dhakshana

CFA L2

18K+

1

25

illustration 17

Financial Reporting

answered on 11-Sep-26 10:11

a) 9% how it is vested .it is lesser than average 10 %

latest answer

We need to compute average.

Priti Kumari

Priti Kumari

CMA Final

0

1

25