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Market return
AFM
answered on 03-Mar-26 13:51
Can the market return be less than risk free rate ? [Video Time Stamp: 05:31]
latest answer
Some times yes Market can have negative returns also Both theoretically and practically
Varshini Rao
CA Final
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1
48
Joint prob standard deviation computation
AFM
answered on 03-Mar-26 15:00
Good day Sir! For X Ltd. To compute standard deviation, i have taken individual returns % (total returns/ opening value) and multiplied them with joint probabilities, the summation of which would give us a mean of 22.26%. And then taken: summation (individual returns-mean return )^2 *Joint probabilities. The variance is coming to 101.03 and standard deviation to 10.05. Can u please help and clarify if we will get different values if we do it based on prices and returns. [Video Time Stamp: 29:12]
latest answer
Prices and returns you will get diff results now doubt
Varshini Rao
CA Final
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72
NAV Computation
AFM
answered on 03-Mar-26 15:02
Sir, The undistributed realized earnings of 20% - won't it be added to market value to arrive at NAV, as it is a receivable? [Video Time Stamp: 10:01]
latest answer
It is part of cash
Swathi S
CA Final
★ 975
1
61
Rectification of errors
Accountancy
answered on 06-Mar-26 21:37
Hi sir , I have a question about a particular entry. Credit sales to A rs 500 omitted to be posted. Does this mean in the sales book we have recorded 500 and but Not to A . So we pass an entry A ac debit to suspense ac . Is my understanding correct sir
latest answer
Thank you sir
Aravind V
CA Foundation
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2
96
Dividend plan
AFM
answered on 03-Mar-26 09:20
Sir, Why the answer differs under these 2 methods. And which method should be followed in exams?
latest answer
Annualising return and irr will have diff returns obviously In exam if they don’t specifiy use non irr method IRR Should be used only when asked
Swathi S
CA Final
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60
Assumption: Dividend is not reinvested
AFM
answered on 03-Mar-26 09:32
Sir, Why are considering time value of money here? However under the reinvestment assumption we are not considering the time of value of money w.r.t opening investment. Then Why are we considering it in the "not reinvested" assumption alone? [Video Time Stamp: 04:49]
latest answer
Only in IRR computation when dividend in not reinvested u will have to consider TVM
Swathi S
CA Final
★ 975
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85
Exchange Rate
AFM
answered on 03-Mar-26 09:29
Sir I have doubt regarding Exchange Rate Rand / INR. Given that India Inflation Rate is 10% and Africa Inflation Rate is 40% As per IRP, Exch Rate=Spot Rate X (1 + Domestic Interest Rate) / (1 + Foreign Interest Rate), So Spot X (1+10%) / (1+40%) right? In this problem we have calculated Spot x (1+40%) / (1+10%) Why?
latest answer
Thank you sir
G Chandrakanta
CA Final
★ 15K+
2
95
Entry load
AFM
answered on 02-Mar-26 20:35
Sir, In the previous illustrations, entry load is additionally added to the opening investment. But here it has been deducted, and only the net amount has been invested. Why 2 different approach sir? [Video Time Stamp: 05:07]
latest answer
It is not entry load but initial expenses of scheme It is subtracted here because mf needs to generate return on balance smt only
Swathi S
CA Final
★ 975
1
65
Professional Ethics
Auditing
answered on 17-Mar-26 10:17
Member deemed to be in practice- Can anyone explain this point marked in star
latest answer
A CA acting in specified roles is deemed to be in practice only when acting in professional capacity and not when engaged on a salary-cum-full-time employment basis. Simply, Profession/ personal- deemed practice Employer- employee relation- not deemed practice
sindhu p
CA Final
★ 0
2
84
Illustration 24
Financial Reporting
answered on 04-Mar-26 17:27
Sir, In Illustration 24, we know that company is going to get duty drawback before approval of FS. Why cant we recognise the contingent asset into asset on 31/3/2022 as we did on Illustration 23 ? [Video Time Stamp: 10:48]
latest answer
the approval by the Department created the right after the reporting date. The event was not existing on balance sheet date i.e. the claim was not virtually certain at the reporting date
Hariharan Ravichandran
CA Final
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63