6 month forward price = 208.18 The borrowing rate is given in p.a. which is 8% per annum. Since the payments of the borrowing has to be monthly, we have to convert the rate on a monthly basis. Therefore - 8% p.a. in a year.....in one month it will become (0.08/12) + 1.....this will be the one monthRead more
6 month forward price = 208.18
The borrowing rate is given in p.a. which is 8% per annum. Since the payments of the borrowing has to be monthly, we have to convert the rate on a monthly basis. Therefore –
8% p.a. in a year…..in one month it will become (0.08/12) + 1…..this will be the one month rate but to specify the monthly compounded rate we have to convert it in monthly compounded basis which will be – (1+ (0.08/12)) ^6.
You have done *6 which is wrong because this is not compounding on a 6 month basis but 6 times something.
Not sure but I think significance level should increase as it refers to the area on the tails and as confidence interval narrows, the area on the tails must increase. Further discussion is encouraged. Thank you.
Not sure but I think significance level should increase as it refers to the area on the tails and as confidence interval narrows, the area on the tails must increase.
As per converged standard E & A from IDEA are gone and you're correct, useful life and estimates are part of footnotes and they're treated prospectively. Hope this helps!
As per converged standard E & A from IDEA are gone and you’re correct, useful life and estimates are part of footnotes and they’re treated prospectively.
Please attach the entire question of the items that you are referring to just attaching the question we can not understand what is the context of your question.
Please attach the entire question of the items that you are referring to just attaching the question we can not understand what is the context of your question.
Once we calculate the terminal value with the respective discount rate given then the terminal value comes in the period which includes the explicit forecast period so then we’ll be using the first discount rate. I am quite not clear about what you are asking but I think according to me this is whatRead more
Once we calculate the terminal value with the respective discount rate given then the terminal value comes in the period which includes the explicit forecast period so then we’ll be using the first discount rate.
I am quite not clear about what you are asking but I think according to me this is what you are asking but if you want a clear explanation you can please attach an example or a question you are referring to so that it can be clear to me as well.
Remember what is R squared are squared is the percentage of the variability of dependent variable explained by the independent variable. Now if you delete several observations then the explanation of the variability of dependent variable that is why will decrease that is R squared will decrease so wRead more
Remember what is R squared are squared is the percentage of the variability of dependent variable explained by the independent variable.
Now if you delete several observations then the explanation of the variability of dependent variable that is why will decrease that is R squared will decrease so we are sure that R Square will decrease in this case.
in the given case if we remove several observations and then run the regression test again the standard error of this test will be comparatively higher then the test on which we initially ran the regression test because even if the residual values were small and they were removed but due to removing those observations altogether the chance of error increases When the same type of the observation may come when the model is completed.
The question is a conditional question that is it is asking if WAI uses the fair value accounting method for its equity investment in the company what will then be there income from the investment for 2016. US Gaap or IFRS does not allow the equity investments to be re-classified in any other investRead more
The question is a conditional question that is it is asking if WAI uses the fair value accounting method for its equity investment in the company what will then be there income from the investment for 2016.
US Gaap or IFRS does not allow the equity investments to be re-classified in any other investment category that is if the equity investments are classified as available for sale for the company they cannot be re-classified to fair value through PL in this question they are specifically asking us that if WAI uses the fair value method; right!! so in balance sheet we will have to show the fair market value of the equity investments that is the investments will be shown at 37.60 so our income from this will be the unrealised gain that is 37.60-35 multiplied by total number of shares that is 4 million and the realised income here will be the dividend that we receive from the investment which is 1.2 per share multiplied by 4 million shares .
Interesr pa comp monthly calculation
6 month forward price = 208.18 The borrowing rate is given in p.a. which is 8% per annum. Since the payments of the borrowing has to be monthly, we have to convert the rate on a monthly basis. Therefore - 8% p.a. in a year.....in one month it will become (0.08/12) + 1.....this will be the one monthRead more
6 month forward price = 208.18
The borrowing rate is given in p.a. which is 8% per annum. Since the payments of the borrowing has to be monthly, we have to convert the rate on a monthly basis. Therefore –
8% p.a. in a year…..in one month it will become (0.08/12) + 1…..this will be the one month rate but to specify the monthly compounded rate we have to convert it in monthly compounded basis which will be – (1+ (0.08/12)) ^6.
You have done *6 which is wrong because this is not compounding on a 6 month basis but 6 times something.
Hope it helps.
Hypothesis Testing
Not sure but I think significance level should increase as it refers to the area on the tails and as confidence interval narrows, the area on the tails must increase. Further discussion is encouraged. Thank you.
Not sure but I think significance level should increase as it refers to the area on the tails and as confidence interval narrows, the area on the tails must increase.
Further discussion is encouraged. Thank you.
See lessFRA Income Statement
As per converged standard E & A from IDEA are gone and you're correct, useful life and estimates are part of footnotes and they're treated prospectively. Hope this helps!
As per converged standard E & A from IDEA are gone and you’re correct, useful life and estimates are part of footnotes and they’re treated prospectively.
Hope this helps!
See lessWhat is the Ans with explanation- Probablity distribution
Answer is B Find out z value around 98 vertically go 2 then horizontal 0.06 you will get 0.9803 Then you have to find gap Upper = 12 +2.06×1.50 =15.09
Answer is B
Find out z value around 98
vertically go 2 then horizontal 0.06 you will get 0.9803
Then you have to find gap
Upper = 12 +2.06×1.50 =15.09
See lessRegarding Changed syllabus
Please talk to Piyush Sir-9674006544 for the same.
Please talk to Piyush Sir-9674006544 for the same.
See lessRegarding Syllabus Changed for CFA Level 1
Please call me (Soumya) -9674093345 for the same.
Please call me (Soumya) -9674093345 for the same.
See lessPrivate RE investment
Please attach the entire question of the items that you are referring to just attaching the question we can not understand what is the context of your question.
Please attach the entire question of the items that you are referring to just attaching the question we can not understand what is the context of your question.
See lessDCF approach under income approach of property valuation
Once we calculate the terminal value with the respective discount rate given then the terminal value comes in the period which includes the explicit forecast period so then we’ll be using the first discount rate. I am quite not clear about what you are asking but I think according to me this is whatRead more
Once we calculate the terminal value with the respective discount rate given then the terminal value comes in the period which includes the explicit forecast period so then we’ll be using the first discount rate.
I am quite not clear about what you are asking but I think according to me this is what you are asking but if you want a clear explanation you can please attach an example or a question you are referring to so that it can be clear to me as well.
See lessLinear Regression
Remember what is R squared are squared is the percentage of the variability of dependent variable explained by the independent variable. Now if you delete several observations then the explanation of the variability of dependent variable that is why will decrease that is R squared will decrease so wRead more
Remember what is R squared are squared is the percentage of the variability of dependent variable explained by the independent variable.
Now if you delete several observations then the explanation of the variability of dependent variable that is why will decrease that is R squared will decrease so we are sure that R Square will decrease in this case.
in the given case if we remove several observations and then run the regression test again the standard error of this test will be comparatively higher then the test on which we initially ran the regression test because even if the residual values were small and they were removed but due to removing those observations altogether the chance of error increases When the same type of the observation may come when the model is completed.
Hence the answer should be option C.
See lessIntercorporate Investment
The question is a conditional question that is it is asking if WAI uses the fair value accounting method for its equity investment in the company what will then be there income from the investment for 2016. US Gaap or IFRS does not allow the equity investments to be re-classified in any other investRead more
The question is a conditional question that is it is asking if WAI uses the fair value accounting method for its equity investment in the company what will then be there income from the investment for 2016.
US Gaap or IFRS does not allow the equity investments to be re-classified in any other investment category that is if the equity investments are classified as available for sale for the company they cannot be re-classified to fair value through PL in this question they are specifically asking us that if WAI uses the fair value method; right!! so in balance sheet we will have to show the fair market value of the equity investments that is the investments will be shown at 37.60 so our income from this will be the unrealised gain that is 37.60-35 multiplied by total number of shares that is 4 million and the realised income here will be the dividend that we receive from the investment which is 1.2 per share multiplied by 4 million shares .
See less