Chapter 3 Technical exposures

In a salami technique, the miscreant may reduce a particular amount from the displayed amount whereas in case of round-down, it is always brought down. For example, if the miscreant employs a salami technique pre-fixed with Rs. 0.20 for every transaction, he will get that much per transaction irrespective of the value of transaction. Whereas, in case of round-down, the miscreant will get how much ever the bill amount is rounded down from. Eg 1: Bill amount is Rs. 999.01 SALAMI: Miscreant gets Rs, 0.20; Final Bill value is Rs. 998.81 ROUND DOWN: Miscreant gets Rs. 0.01, Final bill value is Rs. 999.00 Eg 2: Bill amount is Rs. 999.99 SALAMI: Miscreant gets Rs, 0.20; Final Bill value is Rs. 999.79 ROUND DOWN: Miscreant gets Rs. 0.99, Final bill value is Rs. 999.00 Hope this clarifies it.

Suraj Narayanan

CA Final

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21-Nov-20 01:30

Refer ICAI PM or Stuyy Material !

Hemanth Anil kumar Rallapalli

CA Final

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20-Nov-20 21:19

Yes..tnq

Thread Starter

Gomathi K

CA Final

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21-Nov-20 06:53

How went your Paper 1?

Kumarjit Dey

CA Inter

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22-Nov-20 16:42

I also had confusion. Very well explained with those egs

Kumarjit Dey

CA Inter

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22-Nov-20 16:44