Agreed. All important currencies depreciated, but i think that can't be the sole factor for currency depreciation, because if you consider one more factor let's say inflation then also currency would have been depreciated. India's CPI has breached its ceiling limits many time in recent past, which cRead more
Agreed. All important currencies depreciated, but i think that can’t be the sole factor for currency depreciation, because if you consider one more factor let’s say inflation then also currency would have been depreciated. India’s CPI has breached its ceiling limits many time in recent past, which can be attributed to such INR depreciation because if there is inflation then INR will fall according PPP. It would be treat to watch what RBI will counter this , as reverse repo could rise more in coming month to decrease supply of INR in system considering if there will be third wave of COVID.
Sounds good, but why this theory applies in Indian scenario only, as there were no sharp fall in other currencies, despite of that few currencies take upward move after this decision rolled out. I think hike in interest rate might not be the sole factor but can be one of the factor. According to youRead more
Sounds good, but why this theory applies in Indian scenario only, as there were no sharp fall in other currencies, despite of that few currencies take upward move after this decision rolled out. I think hike in interest rate might not be the sole factor but can be one of the factor. According to you, what might be the other factors that contribute in currency depreciation or appreciation? like PPP, IRP etc.
Ok, so you mean to say we need to raise 150 crore anyhow whether by way of right issue or public issue, it's only the matter of no. of shares that we need to determine in case of public issue, as these were not available to us but proceeds are already fixed, so accordingly no change in numerator inRead more
Ok, so you mean to say we need to raise 150 crore anyhow whether by way of right issue or public issue, it’s only the matter of no. of shares that we need to determine in case of public issue, as these were not available to us but proceeds are already fixed, so accordingly no change in numerator in case of any mode of funding. Right ??
But why 4th year's operating cash flow not discounted by 4th year's discount rate , why 3rd year discount rate has been used ? Residual value should be calculated at 4th year end and discounted with 4th year discount rate
But why 4th year’s operating cash flow not discounted by 4th year’s discount rate , why 3rd year discount rate has been used ? Residual value should be calculated at 4th year end and discounted with 4th year discount rate
It means you have 25% of non-cash in form of dep still in your cash flows you eliminated 75% dep only from cash flows , then how it can be termed as cash flows where there is 25% dep included in it ?? As per the solution, it looks like EPS included only 75% dep, that's why we deducted 75% capex fromRead more
It means you have 25% of non-cash in form of dep still in your cash flows you eliminated 75% dep only from cash flows , then how it can be termed as cash flows where there is 25% dep included in it ?? As per the solution, it looks like EPS included only 75% dep, that’s why we deducted 75% capex from EPS, if it is so, why question doesn’t specifically mentioned this fact? Looks like there is some ambiguity, please correct me if i am wrong.
Thanks for your answer. Understood. Could you please answer my Ques. no. 127202 asked by me in Qforum on 11th June. CA Final -SFM, Mock test 4- Ratio Analysis.
Thanks for your answer. Understood.
Could you please answer my Ques. no. 127202 asked by me in Qforum on 11th June. CA Final -SFM, Mock test 4- Ratio Analysis.
Hi Thanks for your answer. Understood. Could you please answer my Ques. no. 127202 asked by me in Qforum today. CA Final -SFM, Mock test 4- Ratio Analysis.
Hi
Thanks for your answer. Understood.
Could you please answer my Ques. no. 127202 asked by me in Qforum today. CA Final -SFM, Mock test 4- Ratio Analysis.
Agreed. Three Queries- 1. how you derived the equation 0.4x + 1.3(1-x) = 1 ?? How this "1" comes from ??? In question there were asking unit sensitivity w.r.t. Factor 1, so how this 1 comes from , is it a assumption ?? because 0.4 and 0.3 is beta of ril and info and you are equating the beta of thesRead more
Agreed.
Three Queries-
1. how you derived the equation 0.4x + 1.3(1-x) = 1 ?? How this “1” comes from ??? In question there were asking unit sensitivity w.r.t. Factor 1, so how this 1 comes from , is it a assumption ?? because 0.4 and 0.3 is beta of ril and info and you are equating the beta of these stocks to 1.
2. There is one more part of ques i.e. see 4th line find out factor sensitivity of portfolio constructed by you in (ii) , will it be the same as shared by you in image 2 above ??
3. Also, you calculated weights in last part i.e. 1.33 and 0.33, so i think it should be equal to 1 in total i.e. 1.33 and -0.33 instead of 1.33 and +0.33.
Please reply asap. Thank you for such quick response. Appreciated.
Current affairs
Agreed. All important currencies depreciated, but i think that can't be the sole factor for currency depreciation, because if you consider one more factor let's say inflation then also currency would have been depreciated. India's CPI has breached its ceiling limits many time in recent past, which cRead more
Agreed. All important currencies depreciated, but i think that can’t be the sole factor for currency depreciation, because if you consider one more factor let’s say inflation then also currency would have been depreciated. India’s CPI has breached its ceiling limits many time in recent past, which can be attributed to such INR depreciation because if there is inflation then INR will fall according PPP. It would be treat to watch what RBI will counter this , as reverse repo could rise more in coming month to decrease supply of INR in system considering if there will be third wave of COVID.
See lessCurrent affairs
Sounds good, but why this theory applies in Indian scenario only, as there were no sharp fall in other currencies, despite of that few currencies take upward move after this decision rolled out. I think hike in interest rate might not be the sole factor but can be one of the factor. According to youRead more
Sounds good, but why this theory applies in Indian scenario only, as there were no sharp fall in other currencies, despite of that few currencies take upward move after this decision rolled out. I think hike in interest rate might not be the sole factor but can be one of the factor. According to you, what might be the other factors that contribute in currency depreciation or appreciation? like PPP, IRP etc.
See lessEquity Valuation
Ok, so you mean to say we need to raise 150 crore anyhow whether by way of right issue or public issue, it's only the matter of no. of shares that we need to determine in case of public issue, as these were not available to us but proceeds are already fixed, so accordingly no change in numerator inRead more
Ok, so you mean to say we need to raise 150 crore anyhow whether by way of right issue or public issue, it’s only the matter of no. of shares that we need to determine in case of public issue, as these were not available to us but proceeds are already fixed, so accordingly no change in numerator in case of any mode of funding. Right ??
See lessBond Valuation
ohh i see, thanx a lot for your clarification.
ohh i see, thanx a lot for your clarification.
See lessCorporate Valuation
But why 4th year's operating cash flow not discounted by 4th year's discount rate , why 3rd year discount rate has been used ? Residual value should be calculated at 4th year end and discounted with 4th year discount rate
But why 4th year’s operating cash flow not discounted by 4th year’s discount rate , why 3rd year discount rate has been used ? Residual value should be calculated at 4th year end and discounted with 4th year discount rate
See lessCorporate Valuation
It means you have 25% of non-cash in form of dep still in your cash flows you eliminated 75% dep only from cash flows , then how it can be termed as cash flows where there is 25% dep included in it ?? As per the solution, it looks like EPS included only 75% dep, that's why we deducted 75% capex fromRead more
It means you have 25% of non-cash in form of dep still in your cash flows you eliminated 75% dep only from cash flows , then how it can be termed as cash flows where there is 25% dep included in it ?? As per the solution, it looks like EPS included only 75% dep, that’s why we deducted 75% capex from EPS, if it is so, why question doesn’t specifically mentioned this fact? Looks like there is some ambiguity, please correct me if i am wrong.
See lessMerger and Acquisition
Thanks for your answer. Understood. Could you please answer my Ques. no. 127202 asked by me in Qforum on 11th June. CA Final -SFM, Mock test 4- Ratio Analysis.
Thanks for your answer. Understood.
See lessCould you please answer my Ques. no. 127202 asked by me in Qforum on 11th June. CA Final -SFM, Mock test 4- Ratio Analysis.
Merger and Acquisition
Hi Thanks for your answer. Understood. Could you please answer my Ques. no. 127202 asked by me in Qforum today. CA Final -SFM, Mock test 4- Ratio Analysis.
Hi
Thanks for your answer. Understood.
See lessCould you please answer my Ques. no. 127202 asked by me in Qforum today. CA Final -SFM, Mock test 4- Ratio Analysis.
Corporate Valuation
Answer
Answer
See lessPortfolio Management
Agreed. Three Queries- 1. how you derived the equation 0.4x + 1.3(1-x) = 1 ?? How this "1" comes from ??? In question there were asking unit sensitivity w.r.t. Factor 1, so how this 1 comes from , is it a assumption ?? because 0.4 and 0.3 is beta of ril and info and you are equating the beta of thesRead more
Agreed.
Three Queries-
1. how you derived the equation 0.4x + 1.3(1-x) = 1 ?? How this “1” comes from ??? In question there were asking unit sensitivity w.r.t. Factor 1, so how this 1 comes from , is it a assumption ?? because 0.4 and 0.3 is beta of ril and info and you are equating the beta of these stocks to 1.
2. There is one more part of ques i.e. see 4th line find out factor sensitivity of portfolio constructed by you in (ii) , will it be the same as shared by you in image 2 above ??
3. Also, you calculated weights in last part i.e. 1.33 and 0.33, so i think it should be equal to 1 in total i.e. 1.33 and -0.33 instead of 1.33 and +0.33.
Please reply asap. Thank you for such quick response. Appreciated.
See less