Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Management Expert

problem 1)a) Critically evaluate ARR appraisal criterion.

b) Journalize the following transactions. Justify each Debit and Credit transaction with appropriate remarks.

2008, Jan 1                             Started business with cash Rs.1,00,000 out of which paid to bank Rs.40,000
2008, Jan 5                             Purchased furniture for Rs.10,000 and machinery for Rs.20,000
2008, Jan 7                            Sold goods for Rs.16,000
2008, Jan 9                            Sold goods to Shiva Rs.24,000
2008, Jan 11                         Paid telephone rent for the year by cheque Rs1,000
2008, Jan 13                         Amount withdrawn from bank for personal use Rs.3,000

Also prepare ledger entries of cash account only.

problem 2)a) A person buys a machine, makes a down payment of Rs.10,000 and the balance in payments of Rs.8000 per year for five years, starting 3 years from now at an interest rate of 10% per year. What is the cost of this machine?

b) A firms current assets and current liabilities are Rs.1.6 lakhs and Rs.1 lakh respectively. How much can it borrow on a short term basis without reducing the current ratio below 1.25?

problem 3)a) “The longer the maturity of a bond, the greater its price change in response to a given change in the required rate of return”, prove the theorem with a numerical ex.

b) The operating and total leverages of a company are 2 and 5 respectively. Total variable costs at the existing level of operations amounts to Rs.6,50,000. Interest expenses and dividend on preference shares are Rs.75, 000 and Rs.36, 000 respectively. Income tax rate is 60%. Determine the sales revenue and fixed operating costs of the company.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M96587

Have any Question? 


Related Questions in Financial Management

Accounts receivable management an evaluation of the books

Accounts receivable management An evaluation of the books of Blair Supply, which follows, gives the end-of-year accounts receivable balance, which is believed to consist of amounts originating in the months indicated. Th ...

Repeat given problem but close the positions on september

Repeat given problem, but close the positions on September 20. Use the spreadsheet to find the profits for the possible stock prices on September 20. Generate a graph and use it to identify the approximate breakeven stoc ...

On a particular day the september sampp 500 stock index

On a particular day, the September S&P 500 stock index futures was priced at 960.50. The S&P 500 index was at 956.49. The contract expires 73 days later. a. Assuming continuous compounding, suppose the risk-free rate is ...

Mega service corporation msc is offering to exchange 25

Mega Service Corporation (MSC) is offering to exchange 2.5 shares of its own stock for each share of target firm Norman Corporation stock as consideration for a proposed merger. There are ten million Norman Corp shares o ...

1 in the sentence the student said they enrolled late from

1. In the sentence "The student said they enrolled late." From a purely grammatical standpoint, the usage is surprising. Why? 2. How many DETERMINERS are found in the following sentence? "If neither team gets any points ...

1 if the discount rate is positive the present value of

1. If the discount rate is positive, the present value of multiple cash flows is: A. greater than the sum of the cash flows. B. equal to the sum of all the cash flows. C. less than the sum of the cash flows. D. to infini ...

In 2013 chip and jane wood paid 83700 interest on a

In 2013, Chip and Jane Wood paid $83,700 interest on a mortgage they incurred to build their home in Charleston, SC. The average principal balance of the mortgage was $1,430,000. The home has an appraised FMV of only $1, ...

Once researchers calculate a value for t they compare that

Once researchers calculate a value for t, they compare that calculated value to a critical value of t. What two pieces of information must be known in order to find the critical value of t in a table of critical values?

You are serving on a jury a plaintiff is suing the city for

You are serving on a jury. A plaintiff is suing the city for injuries sustained after a freak street sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to ...

General motors exports cars to spain but the strong dollar

General Motors exports cars to Spain, but the strong dollar against the euro hurts sales of GM cars in Spain. In the Spanish market, GM faces competition from Italian and French car makers, such as Fiat and Renault, whos ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro