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Value of Futures

AFM

answered on 19-Jul-25 21:13

Sir, I have a doubt regarding the valuation of the futures, here we are taking spot price + Carrying Cost - Dividends. If we use the formula given for continuous compounding, will we get the same result? If not, When can we use the formula given for continuous compounding for valuing the future contract? [Video Time Stamp: 06:54]

latest answer

Ok sir, understood. Thank you sir.

Abhijith K B

Abhijith K B

CA Final

5

2

193

Non lease components

Financial Reporting

answered on 21-Jul-25 15:02

Why can't administrative tasks be non lease component. Since non lease components should involve transfer of goods or services. Administrative tasks isn't transfer of service?

latest answer

It can be considered as non-lease. Ind AS 116 allows a practical expedient to combine lease and non-lease

Banu Priya

Banu Priya

CA Final

6K+

1

168

Working papers as evidence

Auditing

answered on 22-Jul-25 10:09

1.Auditor as a evidence can ask working papers previous year ? 2.And also in this case Branch auditor , situation where working papers are only the one we obtained evidence? [video Time Stamp: 07:35]

latest answer

Working papers can never be asked. Only audit report he can refer. Working paper will be the property of previous auditor. Branch auditor also cannot be asked for working working for evidence purpose. Principal auditor can ask for audit report . And he has any doubt, he can himself visit the branch office and perform procedures .

Sri Kanth

Sri Kanth

CA Inter

650

1

181

Introduction to FSA - part 2

CFA

answered on 21-Jul-25 15:31

Under the topic of audit report , could you please explain the Reasonable assurance of free from material misstatements? [Video Time Stamp: 26:30]

latest answer

An auditor provides an opinion of financial statement. Reasonable assurance is a high but not absolute level of confidence that auditors provide in an audit report when they state that the financial statements are free from material misstatements. When we use the term reasonable, it means not 100% assurance but high level of assurance.

Vignesh Vicky

Vignesh Vicky

CFA L1

0

1

151

Interpretation

Indirect Taxation

answered on 29-Jul-25 23:05

In this, the 2nd one, i did not understood the meaning of this sentence. Could you please explain it in simple terms.

latest answer

May be based on quantity or value or type

Hrishikesh Pradhan

Hrishikesh Pradhan

CA Final

18K+

3

207

Query

Indirect Taxation

answered on 22-Jul-25 11:22

Why have we not added freight from Q factory to port and loading charges, as it is part of FOB. [Video Time Stamp: 10:12]

latest answer

Since 20 percent is directly considered, it is deemed to have been included

Hrishikesh Pradhan

Hrishikesh Pradhan

CA Final

18K+

1

197

regarding cop

Others

answered on 21-Jul-25 16:26

hello , Is it mandatory to work for one more year after the completion of articleship of 2 years under the new scheme in order to get COP? thank you

latest answer

Thank you sir

Vani Suresh

Vani Suresh

CA Inter

20

2

197

Origin of auditing

Auditing

answered on 22-Jul-25 14:11

Mam what is mean by fixed accounting year ? It denotes 12 months in a financial year isn't correct [Video Time Stamp: 05:43]

latest answer

Yes it’s correct👍

21SCO08 mahalakshmi

21SCO08 mahalakshmi

CA Inter

1K+

3

188

Sell CALL and Sell PUT

AFM

answered on 19-Jul-25 13:33

Sir, Clarify whether I'm thinking about sell CALL and Sell PUT is right or wrong. Sell CALL refers to we are giving right to other person to buy from us. He will exercise the option when the market price is more than strike price. Sell PUT refers to we are giving right to other person to sell to us. He will exercise the option when Market price is less than strike price.

latest answer

Okay Sir. Thank you

K Vamshi

K Vamshi

CA Final

14K+

2

173

Querry

AFM

answered on 19-Jul-25 08:50

For earlier illustrations of this kind we have not made the following working note. Reason and how to identify when to solve including this working note.

latest answer

I am sorry can u elaborate on WN While I am able to see it I am not really clear what the issue is with this WN

Akash Nanda

Akash Nanda

CA Final

25K+

1

197