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interest rate collar

AFM

answered on 06-May-24 11:07

In this question if instead of Cap option, collar option was taken would that be more advantageous?

latest answer

I know. That was weird. You can state that in a collar you sell a floor. If floor is set at lowest rate the interest has gone to in the questions then floor will never be invoked When such a floor is sold, you receive premium That premium will reduce your outflow of 70 or 80 bps and If it that premium received is also 70 or 80 bps then the collar can become a zero cost collar

Priyanka Udeshi

Priyanka Udeshi

CFA L1

14K+

3

338

contingent consideration

Financial Reporting

answered on 05-May-24 13:30

question tells that contingent consideration not considered probable, why we r considering it sir ?

latest answer

Yes

Hariharan S

Hariharan S

CA Final

5K+

7

183

FERA

Corporate & Other Laws

answered on 09-May-24 09:09

Mam what are offences that are not compoundable in nature? what does have mean? Could you please give more clarity.

latest answer

offences that are specifically punishable with imprisonment only or imprisonment and fine are not compoundable.

VENKATKRISHNA gopalakrishnan

VENKATKRISHNA gopalakrishnan

CA Inter

0

1

208

Bootstrapping

AFM

answered on 05-May-24 04:34

Request if you could help me to recollect where the bootstrapping formula (as used in this sum) was used in any earlier part/ chapter?

latest answer

Sec val fixed income spot rates forwardcrates

Priyanka Udeshi

Priyanka Udeshi

CFA L1

14K+

1

364

Illustration 2

Financial Reporting

answered on 07-May-24 14:41

Illustration 2 paid 500,000 for transaction it was mentioned 2% over market price in that case 500,000 includes (100+2%) = 102 % why are we computing the 2% on paid value.

latest answer

2% of market price is transaction cost.

Vanacharla Sai Pavan Kumar

Vanacharla Sai Pavan Kumar

CA Final

8K+

1

353

Professional Ethics

Auditing

answered on 06-May-24 15:24

Can CA in practise quote client name and fee in Invoices ? Under schedule 1 part 1

latest answer

He has to quote for the purpose of record . It is a standard practice to include name n service rendered

M Naresh

M Naresh

CA Final

3K+

2

279

Practical Expidant

Financial Reporting

answered on 04-May-24 23:06

Sir, What does it mean by Practical Expidant?

latest answer

When its difficult to apply a provision, they give an simplified option. This saves time and money.

Gunda Sharan

Gunda Sharan

CA Final

150

1

145

GOODWILL OF PARTNERSHIP ACCOUNTS

Accountancy

answered on 07-May-24 15:44

Can we write goodwill table form as working notes in the exam ( like explained in the lecture ) instead of profit sacrificing ratio will we get marks for it ? or should I just write the same way given in module

latest answer

Yes

Vijaya Lakshmi Pojula

Vijaya Lakshmi Pojula

CA Foundation

2K+

1

344

goodwill of partnership accounts

Accountancy

answered on 20-May-24 15:52

can we write/ use goodwill table form in the exam the same way thought in the lecture instead of sacrified share all ?

latest answer

Yes

Vijaya Lakshmi Pojula

Vijaya Lakshmi Pojula

CA Foundation

2K+

3

179

Degeneration

Financial Reporting

answered on 07-May-24 14:40

Sir, Why Degeneration is covered in AS 41 Biological transformation.

latest answer

degeneration/death is also a biological process. For some specific biological assets, after death, some value may be derived - for e.g leather.

Vanacharla Sai Pavan Kumar

Vanacharla Sai Pavan Kumar

CA Final

8K+

1

262