Answer Posted / ranjini panneer selvam
Retained Earnings is not paid out as dividends but instead
reinvested in the core business or used to pay off debt
also called earned surplus or accumulated earnings or
unapproriate profit.
| Is This Answer Correct ? | 5 Yes | 0 No |
Post New Answer View All Answers
What is entry of Dishonored cheque issued to supplier
What are source documents in accounting?
What is the difference between provision and reverse?
A factory uses annually 24,000 units of a raw material which costs Rs. 1.25 per unit. Placing each order costs Rs. 25 and carrying cost is 6% per year of the average inventory. (a) Find the economic order quantity and the total inventory cost including the cost of material.
Who uses accounting?
What are the three factors that can affect your cash flow and business profitability?
What steps would you take before approving an invoice for payment?
Hi, in Vendor Master i put in defualt data material in purchasing group in sap. now i want to report or list only purchasing group wise vendor only like subcontractor vendor list only how to get this?
Tell me how can you explain the basic accounting equation?
In Service tax Return ST-3 What is meaning of first Row (i) Service tax payable (a) Gross amount received in money (I) Against service provided Pls explain in detail
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?
What is the fictitious assets?
hai everone,can anyone send me the accounting ,finance,general interview questions for mba freshers plz.....urjent
what is addition of Opening Balance and net profit transfered from profit and loss account called
how to pass entry in tally for Interest received on sweep credited to saving a/c? In what group it should be come