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Que 27 icai module- Advance Cap Budgeting

AFM

answered on 20-Nov-25 20:23

In this Question why 55000 replacement value 55000 is not discounted as it is replaced at wnd of year1,2,3 shouldn't it be discounted accordingly

latest answer

EAC

Gauri Shete

Gauri Shete

CA Final

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2

197

Contribution to education fund

Auditing

answered on 20-Nov-25 12:07

Mam what is the difference between charge on profits and appropriation of profits whether charged on profits accounted for profit and loss account [Video Time Stamp: 27:50]

latest answer

Yes, charge against profit wil reduce net profit. Expense charged irrespective of profits. Like interest on loan. appropriation is distribution from profits. Can be done only if profit is available.

21SCO08 mahalakshmi

21SCO08 mahalakshmi

CA Inter

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203

PVAF

Financial Management

answered on 20-Nov-25 11:50

So what if The CFS is not constant and changes year on year, then we have to put different formula?

latest answer

Yea You will multiply cf of that year with pvf for that year You will know about as you move ahead on problems

Aravinth AR

Aravinth AR

CA Inter

★ 900

1

184

Portfolio Risk - Sharpe Index Model

AFM

answered on 20-Nov-25 11:49

Sir, in Portfolio variance of sharpe index model, does "Xi" means weight of the stock? [Video Time Stamp: 07:00]

latest answer

Yes

Sai Eswar Kolli

Sai Eswar Kolli

CA Final

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218

ILL 19

Financial Reporting

answered on 24-Nov-25 16:17

Hlo sir genearlly pv of decommisioning liability is to be added to the Carrying amount of cost and depreciate the asset over useful life. The recognition of decomissioning liability and charging of Finance cost is to be done separately right But whereas in this question u added (at 6;00) decommisioning liability of 11600 i.e whereas as per my understanding it should be only 9250(after depreciation for 4 years) that means u revalued decommisioning liability 2350 Correct me if i am wrong [Video Time Stamp: 06:14]

latest answer

We did not revalue. 11,600 of decommissioning liability as on 31st March Year 4 is derived by 10000*1.05^3. I have attached the computation as well. We do not depreciate the liability part. We depreciate the part which is added to the asset. i.e. When we recognise Decommissioning liability, PPE Dr. 10,000 To Decommissioing LIability 10,000 Now PPE is being depreciate and liability is being increased with addition of interest.

P.udaykumar Pasupulati

P.udaykumar Pasupulati

CA Final

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3

177

Illustration 11

Financial Reporting

answered on 20-Nov-25 17:01

Sir Illustration 10 illustration 11 video not attached? [Video Time Stamp: 03:05]

latest answer

Added. Illustration 11 is discussed as an example in the same video of repayment of grant.

Selvakumar R

Selvakumar R

CA Final

★ 470

1

184

Query

Financial Reporting

answered on 20-Nov-25 17:02

Sir the opening shares will be outstanding throughout the year why are we considering only 3 months as weight.? [Video Time Stamp: 04:22]

latest answer

For the next 9 months it is considered separately along with rights issue.

K Vamshi

K Vamshi

CA Final

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1

219

Advance Capital Budgeting

AFM

answered on 20-Nov-25 09:31

If in this que the salvage value was too high for prob 0.5 then there would be chances that it would be best case right .

latest answer

Best Case / worst case depends on NPV and not just salvage value alone Base considers only one probability. ENPV takes weighted average of all probabilities of CF

Gauri Shete

Gauri Shete

CA Final

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2

232

CARO 2020

Auditing

answered on 20-Nov-25 12:07

Ma'am, are we required to quote the clause numbers when referring to CARO 2020 requirements, in the same way like we quote the clause numbers for Professional Ethics?

latest answer

Clause number is mandatory. Infact would recommend sub clauses too.

Irfanah Ilias

Irfanah Ilias

CA Final

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1

193

Restrictions on loans

Auditing

answered on 20-Nov-25 12:09

Mam whether special sanction should be get from particular society registrar or central or state registrar [Video Time Stamp: 18:18]

latest answer

Special sanction is taken from the “Registrar of Co-operative Societies” of that specific State. Not from: Central Registrar (This applies only for multi-state co-operative societies under the Multi-State Co-operative Societies Act, 2002). Any other State Registrar or Central Government authority.

21SCO08 mahalakshmi

21SCO08 mahalakshmi

CA Inter

★ 1K+

1

169