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Investment decisions

Financial Management

answered on 26-Dec-24 14:47

Icai material Pg 7.46 Illustration 10 Why there is a contradiction in ranking here ?? And Should we write the same in exam also??

latest answer

Ranking will be different based on diff parametrs. A project may not rank the best on all parameters You have make a decision based on circumstances. In exam, you should specify under which circumstances you will choose which project i.e if investment is only 1 lac then what will you do if it is 3 lacs what will you do. if treshold rate is 20% what will you do and 22% then what will you do That is how you make decisions in real life too

Monika T

Monika T

CA Final

7K+

1

532

Investment decisions

Financial Management

answered on 26-Dec-24 12:41

While calculating irr is there any trick to choose the irr percentages without help of annuity table

latest answer

Unfortunately No start with 10%

Prasanth Kumar

Prasanth Kumar

CA Inter

13K+

1

549

doubt in ledger statement in cashflow

Accountancy

answered on 26-Dec-24 09:49

Timeline- 1.02. Sir can we also do simple addition and subtraction method instead of preparing ledger statements? like you have mentioned in Illustration 11 @1.02 time.

latest answer

Yes. Whichever you are comfortable with

Vijay V

Vijay V

CA Inter

0

1

504

Regarding cost of capital

Financial Management

answered on 26-Dec-24 10:32

Can i use dividend price method in this sum to find ke, sir? Will the difference in ans affect the marks? , pls clarify sir.

latest answer

If they have asked for Walter's method and you use Gordon Growth Model, you will not get any marks

Reenu R

Reenu R

CA Inter

9K+

1

141

Illustration 3 to 6 video not available

Indirect Taxation

answered on 26-Dec-24 18:25

Kindly upload video for illustration 3 to 6

latest answer

Will get it sorted.

Sowmiya Prabu

Sowmiya Prabu

CA Inter

670

1

150

Risk Assessment and Internal Control

Auditing

answered on 28-Dec-24 20:58

What is mean by relative size and anyone pls explain this answer with example

latest answer

👍

Sr the Unique

Sr the Unique

CA Inter

10

3

818

Interpretation of Portfolio Risk

AFM

answered on 25-Dec-24 22:19

I would like it to understand it in more depth, now we changed the weight and calculated risk now how will i interpret it let us say the Portfolio risk is 5.9 then how an investor will interpret whether to continue with such portfolio. Second Question was, in exam point of view numbers will be given but in practical life let us say i have 2 stocks, will i have to plot daily returns to see whether portfolio is optimal or how does it work?

latest answer

Ok sir ! Thank you

Hrishikesh Pradhan

Hrishikesh Pradhan

CA Final

18K+

2

715

Investment in debtors

Financial Management

answered on 25-Dec-24 21:57

@06:30 time..... The facuty took 30L ×2/15....but actually only 50% of debtors only took this discount policy... So i think that it should be 30l ×50%×2/15

latest answer

Already responded to this query by another student earlier check responses below https://1fin.link/forum/b9ce644518c94bdbab15f4f315bd7760 https://1fin.link/forum/d0e4875de8f749058e2c170bcd2d4223

07- Issac Jolly-XII C

07- Issac Jolly-XII C

CA Inter

16K+

1

581

Fastrack class

Accountancy

answered on 25-Dec-24 13:59

When will will get fastrack class for AS 17, AS 24 and AS 18

latest answer

Balance topics will be taught beginning 26th Dec and syllabus will be fully done in 2024 😀

Uma D

Uma D

CA Inter

590

1

202

Nov - 24 Question 5(a) - International Financial Management

AFM

answered on 25-Dec-24 13:05

Sir, in the first method, we have computed the future value of the original investment amount using the risk-free rate of India (i.e., 6.976%), but the future value of the cash inflows has been computed using the risk-free rate of the USA (i.e., 4.186%). Shouldn't we compute the future values of both the amounts using a common discount rate (, like we have computed in the second method)?

latest answer

No. Here we are not using any discount rates at all. What we are doing is equating USD and INR CF and arriving at an Exchange rate USD CFs are reinvested in USD bonds at RF INR money is borrowed at RF In India We are equating FV of both these CF to arrive at USDINR exchange rate In the second method, we are using a RADR. The reason why we chose to even use Method 1 in the first place is becuase the question is not clear as to what is it that they want the student to do

Vignesh Panigrahi

Vignesh Panigrahi

CA Final

1K+

1

170