powered by logo

Forums

Security valuation illustration 23Interpretation issue

AFM

answered on 02-Feb-24 19:00

Sir, In attachment underlined sentence . I have taken Retained Earnings are 10 rs and EPS has calculated ~Retained Earnings /50%. But in class Earnings has Taken 10 Rs. And Retained Earnings 5. Please clarify this .

latest answer

Thank you sir

M Naresh

M Naresh

CA Final

3K+

3

287

IND AS 2

Financial Reporting

answered on 03-Feb-24 20:15

For valuing RM when FG is expected to sell below cost , it is Replacement cost. What is Replacement cost in simple terms sir ?

latest answer

To keep it in simple terms, Replacement cost is the cost which you will incur if you want to replace the asset by buying new asset

M Naresh

M Naresh

CA Final

3K+

3

325

SA 320 - Materiality in planning and performing an audit

Auditing

answered on 03-Feb-24 10:53

In the video it is said that performance materiality will be lower than planning materiality, can it be higher than planning materiality? If planning materiality is say Rs.1,00,000 and when we are checking debtors we see that it has lesser chance of being misstated, so can we set a higher level of performance materiality, say Rs. 1,20,000 ?

latest answer

No. Performance materiality is always less that Overall materiality. while fixing the overall financial statement materiality, ROMM is considered. so the 100000 is after taking into account ROMM of every account balance, class of transaction and disclosure.

Arjun Reghunath

Arjun Reghunath

CA Final

0

1

230

Calculation of Purchase Consideration

Accountancy

answered on 03-Feb-24 10:48

Sir, Why Debentures have been taken into the calculation of purchase consideration in the net asset method?

latest answer

To determine net assets, we need to deduct the liabilities.

Prateek

Prateek

CA Inter

120

1

258

Right to control use of asset

Financial Reporting

answered on 06-Feb-24 19:31

Hi please clarify for Ill 11, Entity A designed the facility hence the right to direct use of asset should be with Entity A only right? H only operates on the instructions of the customer, and as per the summary flowchart at the end - if customer designs the asset then customer has right to use asset.

latest answer

okay thank you

Dhvaritha Ravishankar

Dhvaritha Ravishankar

CA Final

7K+

4

224

SA 320 - Materiality in planning and performing an audit

Auditing

answered on 03-Feb-24 10:59

in the video it is said that performance materiality can be lower than planning materiality, can it be higher than planning materiality? If planning materiality is say Rs.1,00,000 and when we are checking debtors we see that it has lesser chance of being misstated, so can we set a higher level of performance materiality ?

latest answer

Overall materiality is calculated taking into account the ROMM at all the overall level. So performance materiality is always less that financial statement material level. it will always be less. 100000 is taking into account all the risk factors.

Arjun Reghunath

Arjun Reghunath

CA Final

0

2

320

Limit of expenditure in schedule 3

Accountancy

answered on 03-Feb-24 11:46

To show expenditure in balance sheet as per schedule 3 what is the limit?

latest answer

You have to disclose based on materiality

Nagaraju Konerolu

Nagaraju Konerolu

CA Inter

3K+

3

321

Exam

Others

answered on 02-Feb-24 16:43

I am not yet purchase any classes and also not started my studies for group 2 exams due to my health issue can i finish portion before the may 24 exams or I choose nov exams

latest answer

Possible if you can dedicate 8 hrs per day

SANTHOSH K

SANTHOSH K

CA Final

19K+

1

370

Accounting new syllabus

Accountancy

answered on 03-Feb-24 00:48

AS-21 and AS-27 is still not uploaded in new scheme classes. Kindly consider the request.

latest answer

Hi

1 Minute Review

1 Minute Review

CA Inter

405

3

373

Advanced Capital Budgeting

AFM

answered on 02-Feb-24 18:47

Sir, why NPV is most appropriate in this situation?

latest answer

Pls check solution in page 22 of attached PDF https://1fin.page.link/gr2QgQpW494joKW37

Swathi Krishna

Swathi Krishna

CA Final

8K+

2

489