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Price is principle mean of allocation of resources in capitalist economy

Economics

answered on 14-Apr-26 17:36

Demand is the basis for price, then why the answer is not demand

latest answer

They are driven by demand, supply, and profit incentives but allocated by price.

Renuka chitrada

Renuka chitrada

CA Foundation

760

3

73

Please how to remember these.any short terms is there for sec12 and 13

Indirect Taxation

answered on 12-Apr-26 23:31

Please how to remember these.any short terms is there for sec12 and 13 [Video Time Stamp: 02:48]

latest answer

No short cut. Use the section revision we have done in the class.

Mahalakshmi P

Mahalakshmi P

CA Inter

1K+

1

30

Yield calculation

AFM

answered on 09-Apr-26 19:09

Sir, in second part, while computing yield at Price = 97.60, when 4 decimal points are taken for PVF, I arrive at exact Rs. 97.60 at 12% yield. Is the answer for 12.00% correct in exam perspective?

latest answer

Depends on question how many decimals they ask you to use

SANJITHA

CA Final

55

1

31

Illus 6 & illus 36

AFM

answered on 09-Apr-26 17:18

Sir, In these both sums, exchange ratio is in line with Market price. What if they are not - in such case how should I compute the Market cap post merger...especially value of Target company - in which of the following way should I compute: 1. Sum of : M.C of Acq. company = Pre merger shares*M.P.S M.C of target company = Pre merger shares of Target*M.P.S of Target Synergy 2. Revised no of shares post merger*M.P.S of Acq company + Synergy [Video Time Stamp: 06:08]

latest answer

In such cases they will specify more clearly what they want. They may give indications of post merger PE or price If nothing is mentioned you can solve using both methods and write as alternative solution

Swathi S

Swathi S

CA Final

975

1

30

Depreciation method

Accountancy

answered on 09-Apr-26 16:38

Whether depreciation methods are accounting policies? Change in depreciation methods are treated as change in policy or estimate?

latest answer

Ok sir thank you

Geeta B

Geeta B

CA Inter

5K+

2

47

Cross Currency

AFM

answered on 09-Apr-26 17:11

Hi Sir, Good day! I have solved in the following manner, please correct me if the steps are wrong 1) Sold USD bought EUR at $1=EUR 1.44 We will have $1000,000 *1.44= EUR14,40,000 2) Sold EUR and bought USD from market at ask price of 1.445 we will have 14,40000/1.445= $996539.79. Loss = sold 996529.79-1000000= $3460.21 3) Loss in INR using ask rate as we are the dealer and would sell $ at higher rate at 31.45 $3460.21*31.45= 108823.60 [Video Time Stamp: 17:54]

latest answer

Hi Varshini, This is correct. But i think i explained in the video you will have to buy back 1 Mio USD and for that you will require more Euro ICAI has solved questions line what i mentioned above

Varshini Rao

Varshini Rao

CA Final

35

1

29

Serial correlation

AFM

answered on 09-Apr-26 08:37

In illustration 3, Logic behind >40% is not weak, what is the criteria or corr percentage can be considered as weak? sir

latest answer

Based on market behaviour over time and not based on any formulae

Tharun .M

Tharun .M

CA Final

4K+

1

32

Gain or loss on merger

AFM

answered on 08-Apr-26 18:49

Sir, If the question is about gain or loss on merger. We are supposed to calculate in terms of EPS or market value or both? [Video Time Stamp: 04:12]

latest answer

Usually market value Change in Eps is usually termed as accretion or dilution No harm in computing for both eps and market value

Swathi S

Swathi S

CA Final

975

1

34

Request for additional question with put option

AFM

answered on 08-Apr-26 18:51

Please sir provide additional question for practice based on put option...

latest answer

Hmm will see if we can add

Vinod Kumawat

Vinod Kumawat

CA Final

1K+

1

33

Interest computation

AFM

answered on 08-Apr-26 15:18

Sir for computation of interest we considered cashflows as here Buy USD 1,00,000 @ 75.22 (INR outflow) Rs. 75,22,000/- Sell USD 1,00,000 @ 75.40 (INR Inflow) Rs. 75,40,000/- Hence Net cash Inflow. But you considered as Net cash outflow and Interest of Rs. 275 were added to total Early deliver charges. As per my understanding Early deliver charges will be Swap Loss - Interest on net cash inflow (i.e 20,000-275= 19,725) Is this correct sir? [Video Time Stamp: 06:56]

latest answer

Understood sir, thank you

G Chandrakanta

G Chandrakanta

CA Final

15K+

2

33