Capital structure

answered on 16-May-20 12:35

My doubt is in the screenshot please explain

latest answer

Ok tq sir

Aishwarya Sreepada

CA Inter

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385

Capital structure

answered on 18-May-20 19:28

Why ko is taken as percentage what is relevance of expressing everything in terms of percentage

latest answer

Ko is expressed in percentage so as to compare the cost of getting the capital with that of the capital received. For example, we take the capital to be Rs.1,00,000 and the cost of getting that capital is 10%. So we get to know that the cost of getting the capital is Rs.1,00,000 x 10% = Rs.10,000. Hence, we provide everything in percentages so as to compare the percentage of cost we incurred on capital with that of another company in the same period or within the company for different periods.

Aishwarya Sreepada

CA Inter

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381

Individual module

answered on 15-May-20 19:12

Lease financing chapter is missing in fm flash sale.... Is it mixed with other chapters?

latest answer

Yes

Abhishek P N

CA Foundation

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2

383

Irr calculation ill4

answered on 09-May-20 00:17

Npv@10%=(80)pvci+pvtci Enable understanding this calculation 1/1.1 and1.1/1.10 on this calculator how to do, give me procedure

latest answer

I got thanks u

Sultana Sultana

CA Inter

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3

398

Can anyone give formulas for risk premium, market premium, market risk premium?

answered on 09-May-20 10:11

Always confusing!

latest answer

Risk premium is calculated by subtracting the return on risk-free investment from the return on investment. Risk Premium formula helps to get a rough estimate of expected returns on a relatively risky investment as compared to that earned on a risk-free investment. The risk premium is calculated by subtracting the return on risk-free investment from the return on investment. Risk Premium formula helps to get a rough estimate of expected returns on a relatively risky investment as compared to that earned on a risk-free investment. Risk premium = Ra - Rf Ra - Asset/ Investment return Rf - Risk free return Market risk premium is the additional return an investor will receive (or expects to receive) from holding a risky market portfolio instead of risk-free assets. Market risk premium is part of the Capital Asset Pricing Model (CAPM) which analysts and investors use to calculate the acceptable rate of return for an investment. Market Risk Premium = Expected Rate of Return â?? Rf Rf - Risk free return Market risk is the risk which arise due to market related conditions like entry of substitute, changes in demand conditions, availability and access to resources etc. For Example, a thermal power project gets affected if the coal mines are unable to supply coal requirements of a thermal power company etc.

K.V. Karthik

CA Inter

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375

Irredeemable Debentures

answered on 05-May-20 10:54

Sir, Why do we take average cost while computing Kd for irredeemable debentures. While for redeemable debentures we take only the Net Proceed as cost . By average cost I mean the average of net proceeds and redemption value. Can anyone explain the logic.

latest answer

Thanks.Sorry for the error in question. You got my question right. But a small clarification, is it since the numerator has both the interest and premium or loss on redemption aspect that makes one include both the net proceeds and redemption values average in the denominator. As , the actual cost incurred by the debenture holder is only the issue price.

MAHITHA SENTHIL KUMAR

CA Final

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2

434

Won't able to understand the equation

answered on 30-Apr-20 13:33

Sir I won't able to understand the calculation of yield to maturity method .. present value of cash inflow at 15 % for 5 years where present value is 10..

latest answer

Please try to solve the problem, and come back if you are stuck at any point Send an image pointing out the specific point where you are facing problem

Sutapa Das

CA Inter

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435

Individual classes not working

answered on 27-Apr-20 10:35

It got expired one day before itself. Pls check it sir. Not able to access the class.

latest answer

We have individual modules access to all by 2 days. Anyone who has not been able to complete can go ahead and complete

kamali j

CA Inter

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4

451

Cost of capital

answered on 22-Apr-20 06:37

Plse explin wht is cost of capital? ( meaning of coc)

latest answer

It is the minimum rate of return expected by the providers of long term funds. Simply, company's cost of capital = investor IRR

Nivetharaman Raman

CA Inter

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394

Equalised annualized beneft

answered on 21-Apr-20 21:03

Sir for EAB calc. Npv use ...suppose npv is negative means wht to do ...same as what to do in npv positive....?or question not given like that

latest answer

Ok sir

Nivetharaman Raman

CA Inter

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410