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Derivatives

CFA Level I

answered on 08-Apr-24 05:39

Dear Team, Please refer ch 1 for "What is a Forward Contract", would the Discount factor be provided in question to check the PV of future benefit.

latest answer

Explained in quant and several other topics also abt calculator usage. Also calculator comes with instruction manual. Kaplan schweser books also show case calculator steps where required

Namrata Lall

CA Inter

★ 0

Regarding work experience for charterholder

CFA Level I

answered on 05-Apr-24 21:27

Good evening sir, I am about to join my friends sole propriertorship firm( not a company). They do trading, swing trade with technical analysis background. Does working here count for my work ex for charter? I have this doubt because it is not a company. Thanks in advance...

latest answer

Yes should ideally be sufficient - you can check with CFA institute by emailing the

HARI HARAN

CFA L1

★ 170

Financial Statement Analysis - cash flow analysis II

CFA Level I

answered on 22-Mar-24 11:49

Time stamp pertaining to the previous query ( why is expense as shown in income statement not considered while adjusting for non cash and non operating expenses) is at 09:50

latest answer

We have adjusted for non-cash items from P&L in the cash flow statement such as Depreciation. The other items under the expenses such as COGS, wages and interest are treated as operating cash items, therefore not reversed. With respect to interest expenses, there is a slight difference in treatment under IFRS and US GAAP. While IFRS has more flexibility to classify interest paid as either a operating activity or financing activity, US GAAP specify it to be classified as an operating activity. The example that is being discussed in the video is pertaining to US company, therefore we have not added back interest costs.

Vasudha TK

CFA L1

★ 0

Financial statement Analysis

CFA Level I

answered on 31-Jan-24 03:07

Module 30.1 Example: Revenue recognition 1.performance Obligations

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total revenue from a project is say 10 Mio, the project is spread over 2-3 years. So cumulative revenue over 2-3 years is 10 mio So based on construction, i.e % of completion total project revenues and costs are recognized. Say project is 50% complete in yr 1 then 50% cost and revenue are recognized. In year 2 if completion rate is 75% then cumulative revenue and cost for year 2 is 75% If one has to get revenue for the year 2 then one has to subtract cumulative revenue for 2 years minus revenue recognized in year 1

Swetha Saravanan

CFA L1

★ 0

108

Corporate issuers los 22

CFA Level I

answered on 11-Jan-24 22:19

Examples : impact of leverage on roe Impact of a decrease in revenues Video Details Course: Corporate issuers - CFA Level 1 Module: Corporate Issuers Section: 5.Stakeholder Management

latest answer

First one When instead of buying a machine at full equity , it is purchased at 50:50 DE, then ROE increase because Debt return is fixed at a lower rate and as profits increase, all teh increase in profit goes to equity because of which ROE increases Second one On the flip side, if profits decrease, most of the profit does towards paying interest on debt because of which very little is left for Equity holders because of which ROE decreases. Have you understood both the above points i am making above or not? If not let me know if i can call you at 9.30 Am and explain this in detail

Swetha Saravanan

CFA L1

★ 0

101

Corporate issuers reading 22

CFA Level I

answered on 09-Jan-24 12:54

Double Taxation Module quiz 22.1 question 2

latest answer

1-(0.9 x 0.85) = 23.5%

Swetha Saravanan

CFA L1

★ 0

101

Economics

CFA Level I

answered on 09-Sep-23 10:52

How exchange rate can affect the aggregate demand.

latest answer

Say Rupee depreciates to 100 from 83 cost of chips importedto manufacture phones increases cost of phones manufactired in india using imported components increases sale price of phones increases demand for phones decreases