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2008, Jan 13                         Amount withdrawn from bank for personal use Rs.3,000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

A manufacturing system costs 150000 its lifetime is 15

A manufacturing system costs $150,000. Its lifetime is 15 years and at that time its salvage value will be $25,000. Your Minimum Attractive Rate of Return is 18%. How much net income does the system need to provide in or ...

Assume that the market index portfolio rm consists only of

Assume that the market index portfolio (RM) consists only of the following three stocks (stocks A, B and C). The data below shows the capitalization of each stock (the market value of outstanding shares), their average e ...

First if i were to offer you 5000 today or 10000 10 years

First, if I were to offer you $5,000 today or $10,000 10 years from now, which would you take based on the time value of money? Or would you need some additional information in order to answer that question? If so, what ...

Learning objectives analyze the impact of business

Learning Objectives : Analyze the impact of business transactions on accounts; record (journalize and post) transactions in the books) This problem can be used in conjunction with Problem. Problem :- Learning Objectives ...

Consider an option on a dividend-paying stock when the

Consider an option on a dividend-paying stock when the stock price is $60, the exercise price is $58, the risk-free interest rate is 3% per annum, the volatility is 25% per annum, and the time to maturity is three months ...

1 explore the websites of companies producing beverages and

1. Explore the websites of companies producing beverages, and represent the logistics system of one of them. 2. Discuss the main differences in managing a logistics system of a service company (in particular, a bank) and ...

Paul potluck was traveling on quick quiet quality bus line

Paul Potluck was traveling on Quick Quiet Quality Bus Line (3Q). He had checked in a suitcase before boarding the bus. It was in the baggage compartment of the bus when it was involved in an accident. 3Q was in no way at ...

Examine the pros and cons of a sinking fund from the

Examine the pros and cons of a sinking fund from the viewpoint of both a firm and its bondholders. Determine the fundamental manner in which this knowledge could be helpful to a financial manager. Provide a rationale for ...

Bbb company produces multiple products the company is

BBB Company produces multiple products. The company is currently using a traditional system. Total overhead is projected to amount to $2,300,000. The company uses machine hours as its allocation base. BBB expects 200,000 ...

1 suppose that your firms last net cash flow equaled 40000

1. Suppose that your firm's last net cash flow equaled $40,000 and the last forecast for net cash flow is unknown. However, you know that the exponential smoothing forecast value was $75,000. Given an alpha of 0.3, what ...

  • 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

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

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen