Under what rate will be the Head office related accounts,
like Head Office Current A/c, Goods from Head Office A/c,
will be converted in case of Foreign Branch...??
Answer / anubhavbansal2002
There is no need of conversion for such aacounts as the
exact conversion amount is available from the Head Office
books... i.e. transactions of such accounts are recorded in
both Head office books as well as branch books.
Is This Answer Correct ? | 1 Yes | 0 No |
what is demand?
Cash discount is allowed to the customer to encourage them - -------------
Expand R B I
what is accumulaated depreciation ? and wht is effect of it in profit and loss a/c and balance sheet ??
what are the different causes for discrepencybetween the balance of cash book and pass book
Started business with cash 50000
What is the difference between reserve and provision.
Explain howyou would account for the following items/situations,justifying answers by reference to the conceptual frameworks defintion and rcognition criteria. a)A trinket of sentimental value only b)You are the guarantor for your friends bank loan i) You have no reason to belive that your friend will default on the loan ii) As your friend is in serious financial dificulties,you think it is likely that he will default on the loan c)You receive 1000 shares in X Ltd,trading at $4 each,as a gift from a grateful client. d)The panoramic view of the coast from your cafes windows,which you are convinced attracts customers to your cafe
what is vat sett off? service tax?
EXPAND_________SFI
Short Answer on ________Ad-Valorem Duties
DHPL is a small sized firm manufacturing hand tools. It manufacturing plan is situated in Haryana. The company’s sales in the year ending on 31st March 2007 were Rs.1000 million (Rs.100 crore) on an asset base of Rs.650 million. The net profit of the company was Rs.76 million. The management of the company wants to improve profitability further. The required rate of return of the company is 14 percent. The company is currently considering an investment proposal. One is to expand its manufacturing capacity. The estimated cost of the new equipment is Rs.250 million. It is expected to have an economic life of 10 years. The accountant forecasts that net cash inflows would be Rs.45 million per annum for the first three years, Rs.68 million per annum from year four to year eight and for the remaining two years Rs.30million per annum. The plant can be sold for Rs.55 million at the end of its economic life. The company would need to raise debt to the extent of Rs.200 million. The company has the following options of borrowing Rs.200 million: a. The company can borrow funds from a nationalized bank at the interest rate of 14 percent for 10 years. It will be required to pay equal annual installment of interest and repayment of principal. b. A financial institution has offered to lend money to DHPL at 13.5 per annum but it needs to pay equated quarterly installment of interest and repayment of principal. Questions: 1. Should the company expand its capacity? Show the computation of NPV 2. What is the annual installment of bank loan? 3. Calculate the quarterly installments of the Financial Institution loan 4. Should the company borrow from the bank or from the financial institution?