1.Is deprciation a source of funds? How is it treated in
calculatiing fund from operations?
2. What is standard costing? Ple. give its advantages.
3. What do you mean by solvency ratios. List two types of
solvency ratios which are used by variuos firms.
4. What is objectives of Job costing?
5. Explain Brifly two capital budgeting technique using
discounted cash flow criteria.
Answers were Sorted based on User's Feedback
Answer / vikrant gawde
No,depreciation is not source of funds. It is non-cash
item. While adjusting it under cash flow from operative
activities it is added in Net profit before tax and
extraordinary items.
One of many ratios used to measure a company's ability to
meet long-term obligations. The solvency ratio measures the
size of a company's after-tax income, excluding non-cash
depreciation expenses, as compared to the firm's total debt
obligations. It provides a measurement of how likely a
company will be to continue meeting its debt obligation
job costing is used to ascertain the cost of non-standard
jobs undertaken against customers specific orders. The main
object of the job is to ascertain the cost of each JOb ,
contract etc. and control its costs during its execution.
Technique of capital Budgeting:
1. Net present Value:
It is the sum of all present value of cash flow that are
expected to occure over the life of the project.Accept the
project if NPV is positive and reject the project if NPV is
Negative
2.Internal Rate of Return:
It is the discount rate of return which makes the NPV equal
to the ZERO.
Accept: if the IRR is greater than cost of capital
Reject: If the IRR is less than cost of capital
| Is This Answer Correct ? | 1 Yes | 0 No |
Answer / rajukharade
depreciation is non cash item wich we takes into a/c while
calculating net profit therefore it should be added to net
profit to know the correct funds from operation and vice-
verca in case of loss i .e funds lost in operation
| Is This Answer Correct ? | 0 Yes | 1 No |
As an importer of goods through letter of credit, (payment is done through indian bank to foreign back), my question is who is liable to pay with holding tax when the payment is remitted to foreign bank, whether the buyer(importer) or the seller and why?
What is Inter branch accounts reconciliation
What is call option and put option?
what are the adjustments and treatment with connection to the profit and loss appropriation accounts and how they do?
Explain what does financial statement of the company includes?
What is deferred tax asset or libility ? please help with the best one answer u have. thanks all
5 Answers Carlson, DELL, Real Estate,
under which head should be the p & l appropriation a/c should be opened in tally 9? and how to preapare and display it?
what is retention? how caculate on asset
What is a Pay Group
what single discount is to2 successive discount of 10%& 15%
what is the princple of debit & credit?
what is the meaning of debit and credit