powered by logo

Forums

Remittance to Perfect Inc

AFM

answered on 01-Apr-26 06:57

Sir, Why have we remitted the free cash flows instead profits? [Video Time Stamp: 41:20]

latest answer

Because in a cash flow based valuation we discount free cash flows. Profits are not discounted. If we use profits as a benchmark for valuation then a pe multiple based valuation is the preferred method

Swathi S

Swathi S

CA Final

975

1

30

Swap

AFM

answered on 31-Mar-26 09:42

Sir, As Zaki wants floating rate loan, he is offered with BPLR+2.5% whereas IB offered with floating rate of BPLR + 0.50%. In this case, Zaki would get benefit out of Swap. Now when it comes to IB, it wants fixed rate loan - it was offered with 2% which is cheaper than what offered to Zaki (i.e. 2.25%) , in this case, there is no benefit for IB to enter into a Swap. Won't the benefit seen individually, sir? [Video Time Stamp: 11:38]

latest answer

ok

Swathi S

Swathi S

CA Final

975

2

30

Example

AFM

answered on 31-Mar-26 07:27

Please provide us one numerical practice example related to this. (if possible) [Video Time Stamp: 00:06]

latest answer

Pricing is just like a bond. You determine a yield and the price the security From borrower perspective if int rate of alternative borrowing 5% he would want a similar rate here . He may sacrifice some yield if quality of assets is high and risk of default is low. If rating is poor the he may want a higher yield

Vinod Kumawat

Vinod Kumawat

CA Final

370

1

26

illustration 2

AFM

answered on 30-Mar-26 15:19

sir is it year 0 and year 1 with respect to construction period, why we take ticket price 220 in year 0.actually period of operations starts from year 2 onwards. [Video Time Stamp: 18:56]

latest answer

It is a slightly weird assumption that Ticket price off 220 that is given in the question is for Year zero when no specific mention abt the same has been made in the question. This is how ICAI has solved it - while we can use our judgement and correct it. I am embarrassed to say that ICAI will not award marks for a logical approach by student when they have followed an illogical approach in their Study material 😔

saipriya  v

saipriya v

CA Final

350

1

28

INDEX FOR IBS

Financial Reporting

asked on 30-Mar-26 14:04

Can I expect any index for FR ? I have old material which I bought for May 25 but that book is applicable for May 24

latest answer

No answers yet!!

Adharsh Painedi

Adharsh Painedi

CA Final

23K+

0

39

Cross Rates - Illustration 9

AFM

answered on 30-Mar-26 18:59

Why are we considering Ask rate for GBP SGD as the base currency for that transaction will be pound. [Video Time Stamp: 40:19]

latest answer

Ok. No worries. happy to help

Vidyashree Anand

Vidyashree Anand

CA Final

0

3

29

Short cut step for exam - use during reading of question

AFM

answered on 30-Mar-26 08:13

1.Change = old - new / old , compare with % of CM policy 2. if less then igone ,otherwise allocate in cm ratio .. 3 Nos = Allocated Amount / New Price Imp. Note before rebalancing debts will same, and after balancing Port. value will same. [Video Time Stamp: 40:24]

latest answer

Yes

Vinod Kumawat

Vinod Kumawat

CA Final

370

1

30

Ratios of shares to be exchanged

AFM

answered on 30-Mar-26 07:35

In question they have given " a share for share exchange" i.e 1lakh of shares of C ltd to be exchangd with 1 lakh shares of B ltd is what I assumed. WHy are we taking MP as ratio base. Kindly explain. [Video Time Stamp: 13:14]

latest answer

Share to share

Kiruthika Senthilkumar

Kiruthika Senthilkumar

CA Final

3K+

1

19

illustarion no 1 international financial management

AFM

answered on 30-Mar-26 07:28

sir why we take working capital adjustment amount as 70/- in year 5 [Video Time Stamp: 40:54]

latest answer

Wc

saipriya  v

saipriya v

CA Final

350

1

17

Doubt regarding secondary packaging materials and NRV

Financial Reporting

answered on 30-Mar-26 10:00

Sir, I have a doubt in Ind AS 2 regarding packing materials and NRV. As per the standard, I understand that secondary packing material and publicity material are not treated as inventory since they are considered selling and distribution expenses. However, while calculating Net Realisable Value (NRV), should these costs (like secondary packing, transport packing, publicity, etc.) be deducted as “costs necessary to make the sale”? So my confusion is Even though these are not included in inventory valuation, are they still deducted while computing NRV? [Video Time Stamp: 07:27]

latest answer

Secondary packing, transport and publicity costs are excluded from inventory as they are "costs necessary to make the sale." NRV = Estimated Selling Price − Estimated Completion Costs − Estimated Selling Costs So while computing NRV, we reduce the amounts. While computing cost - we see what is the cost to create the asset. While computing NRV, we are seeing how much we would get when we sell the asset.

kalees waran

kalees waran

CA Final

195

1

25