Interested to Buy Any Domain ? << Click Here >> for more details...
Answer Posted / c.shameel ahmed
Debit was comes in
Credit was goes out
| Is This Answer Correct ? | 0 Yes | 1 No |
Post New Answer View All Answers
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 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.30 million per annum. The plant can be sold for 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 annum 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 installment of the financial institution loan. (4) should the company borrow from the bank of from the financial institution?
How the Entry passed for Loss of Payment
our cheque to Arshad Khan was dishonored?
How do you handle rejection?
what is the primary of for-profit organisation
What is the difference between General Ledger and Ledger?
how to calculate accrued interest on fdr?how to see from bank statement????basic procedure plz advice..
What is fiduciary accounting?
lic (life insurance corporation)how much he or she as to deduct income tax on his gross annual salary. please give with examples
What is cash flow and fund flow?
Explain me fair value accounting?
How can pass reverse entry to close the account. If the Asset sides is greater then liabilities side and vice versa, then what can I do.
Is an "account receivable" and "goodwill" real accounts in accounting?
Why is it necessary to prepare Asset Disposal Account?
What is the Project Accounting in case of Real Estate or Construction Co`s ?
