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Ri, whether Actual Return or Expected Return
AFM
answered on 01-Jan-25 11:35
Sir it’s a confusion of what Ri should be in Treynor Ratio/Sharpe Ratio whether its actual return or Expected Return to be considered => In illustration 67, Expected Return is considered as Ri, I believe it is due to the non availability of actual retunr => In illustratoin 68, for treynor ratio raking, Ri = Expected Return considered despite Actual Return Given In illustration 80 Ri = Average of Actual Return Considered In illustration 82, Ri = Actual Return Considered I understood that you said actual return to be used as you check the ratios for actuals to know the performance would like to get some clarity especially considering, in Illustration 67 Expected Return used despite actuals available
latest answer
67 & 68 both are Optimal portfolio Questions - I have explained the formula as Treynor ratio so that you can remember it - actually please do not spend time on these 2 questions at all as they are a waste of time and effort and energy and will suck away a lot of time in exam - rather if it even appears in exam, do not attempt it and instead solve other problems In 67 ER is not CAPM Er but return expected by the user (as explained in one of your previous queries) in 68 Return values are historical and we are not sure what they are Actual or expected - this is a problem I downloaded from IIT Kanpur department of finance or something like that and they solved it this way - if it is too confusing ignore it 80 - average of actual return considered because they have not asked us to find out ratios for any specific year - just said find out - hence we computed the ratios over a 3 year period 82 - used actual as that is the right formula Long story short, as far as normal Treynor ratio questions are concerned, used actual if available, else use expected return by investor - under no circumstance use CAPM expected Optimal portfolio questions - completely ignore
Hemachandra D
CA Final
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doubt in the solution
Financial Management
answered on 31-Dec-24 13:11
hello sir, as the debtors were valued at selling price per unit (Rs.18) while computing no. of units, but at min2:35 in this video, the debtors rate per unit is taken at total cost per unit(Rs.16 for normal shift and Rs.12.4 for double shift) while computing cost of debtors. and in the question there is the mention of selling price will remain same so sir, my interpretation is that rpu of debtors should be Rs.18 for both single shift and double shift
latest answer
Faculty says total cost basis and not revenue basis. You can make an assumption on revenue basis. icai has also chosen to solve on cost basis and not ARPU basis
Nagachaitanya Nomula
CA Final
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Spom fast forward
Exams
answered on 31-Dec-24 08:46
Is there any way to watch spam videos in fast forward?
latest answer
No
Dipanshu Porwal
CA Final
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1K+
Deemed owner Matlab
Direct Taxation
answered on 31-Dec-24 21:48
Deemed owner Matlab deemed Matlab tax language me kaya hota hai
latest answer
I already understand I watched lecture no 21 of IFHP
R G
CA Final
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2
958
NAV Change Percentage less than the target Change %
AFM
answered on 31-Dec-24 06:09
Sir what if the change month on month is less than the target % (15%), then no rebalancing happens if we compare with the previous month value instead of historic cost
latest answer
No rebalancing happens
Hemachandra D
CA Final
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878
Doubt
Financial Management
answered on 30-Dec-24 22:47
In FM, For some illustrations, symbol * is there. What does it indicate ?
latest answer
Ok sir 👍
kalyan yuva
CA Inter
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991
FEMA Act 1999
Corporate & Other Laws
answered on 08-Jan-25 15:16
In availing foreign exchange more than USD 250000 whether RBI approval is required for these 3 purpose 1) Emigration 2) Medical Expenses 3) Studies Or just required documents be submitted and no prior approval is required?
latest answer
In order to remit amount more than USD 2,50,000 RBI approval is required in all the three situations.
Lathika
CA Inter
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need explanation for mcc
Accountancy
answered on 03-Jan-25 14:36
what is the logic behind 4th mcq given ichi material book back
latest answer
Amount after adding borrowing cost should not be more than the realisable value.
Chaaru Rakshanaa
CA Inter
★ 1K+
1
265
Illustration -1
Accountancy
answered on 31-Dec-24 11:09
In the ICAI books In the notes to account there is no other current liability in the balance sheet because they don't take the final dividend in Reserve and Surplus. for why? but in our classes you show the final dividend both other current liabilities and reserve and surplus. which method should followed sir?
latest answer
ok sir
bharathipriya
CA Inter
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409
Repetition of this problem
AFM
answered on 31-Dec-24 09:41
Sir, Your video and material is for 2021-22 exam. Just wanted to know if such questions have been asked for 2023 & 2024. If so, can you please upload the same in this portal or send it to my email pradeep@ekasmai.co.in
latest answer
Shared from *1FIN by Indigolearn* Free Resources https://1fin.link/free_resources
Pradeep Malur
CA Final
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519