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14 50203A man leaves office daily at 7:00 pm. A driver with car comes from his home to pick him from office and bring back home. One day he gets free at 5:30 and instead of waiting for driver he starts walking towards home.In the way he meets the car and return home on car. He reaches home 20 min earlier than usual.in how much time does the man reach home usually... ?
8 16567when does sedimentation occur before filteration, along with it, along with chlorination, after chlorination?
8 15248hi i m an EC engg i had cleared written test for PE for BEL plz help be for interview provide me full information about intrvw as much as u can.. thankx..
14 26258why the generating voltage in India is 11kV or why is it be transmitted as multiples of 11
34 122769Post New NTPC Interview Questions
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Case Study: Deepak Hand tools Private Limited 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?
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