Cost of capital

answered on 29-Apr-21 07:54

How to calculate explicit cost of debt?

latest answer

We have to calculate explicit cost of debt by using IRR method. Ref. Page 4.33 of ICAI material. Chapter name: Cost of capital

Divya N

CA Final

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365

Capital structure

answered on 26-Apr-21 19:08

What does Pre-tax profit mean? Does that mean PBT or EBIT?

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PBT

Venkatesh Rathinam

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386

Capital structure

answered on 14-Apr-21 15:40

Sir/madam Please explain, the calculation of capital employed

latest answer

Thank you so much sir..

Bliss Full

CA Inter

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378

Cost of capital

answered on 12-Apr-21 15:25

Sir /madam I couldn't understand, how the g (growth) is determined Please guide

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Thank you sir Now I understood

Bliss Full

CA Inter

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373

Depreciation calculation

answered on 12-Apr-21 10:55

How do they have calculated depreciation from 4th year

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1. Depreciation for first 3 years is Rs.175/8 = 21.875 2. At the end of 3rd year, there was another machine which was purchased for Rs. 12.5 Lakh. This is having the salvage value of Rs. 1.25 lakh at the end of 8th year. Hence, depreciation for new machine for 5 years will be (12.5 - 1.25)/5 = 2.25 lakhs 3. Hence from 4th year, depreciation will be 21.875+ 2.25 = Rs. 24.125

Triveni Patil

CA Inter

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358

Cost of cap

answered on 06-Apr-21 17:07

The sum in Module 22 of the chapter has tax rate diff from icai module please provide the solution for the sum with tax rate at 30% Even final answer is okay I need to cross check my solution using the method taught in class

latest answer

Can you please be clear?

Priyanka Udeshi

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capital structure

answered on 05-Apr-21 15:36

What is over capitalization and under capitalization? in which module are these concepts covered

latest answer

Over Capitalisation is a situation where a firm has more capital than it needs and Under Capitalisation is a state, when its actual capitalization is lower than its proper capitalization as warranted by its earning capacity. Both are bad to the business. This topic is being recorded. Will be available soon.

Priyanka Udeshi

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IRR _ investment decisions

answered on 02-Apr-21 13:43

Illustration 23 Video no. 63 For calculating IRR year 3 CFAT 178.5 Then final answer IRR comes to 13.7358% Is it correct?

latest answer

Relevant changes have been made. Please go through.

Gayathri K V

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Ratios

answered on 25-Mar-21 10:56

In solution Proprietary fund is calculated using TA= Equity + debt but shouldn't it be TA= Equity+Debt+CL? Please explain

latest answer

It is correct.

Priyanka Udeshi

CA Final

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Risk analysis in capital budgeting

answered on 11-Mar-21 11:21

What is present value annuity factor and present value interest factor How to use both in specific cases

latest answer

Please go through the videos

Santhosh Raj

CA Inter

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