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Q. What is Maturity?
Maturity: The maturity period of the securities should be short, otherwise, the company might suffer losses on account of getting the funds pre-maturely released. The period should be selected according to the time for which the cash would remain surplus otherwise.
What happens when a bank charges discount interest on a loan? While a bank charges discount interest on a loan the required interest payment is subtracted from the loan carries o
#how to calculate initial investment cash flows ..
Explain some Examples under FASB 52 that a foreign entity's functional currency would be similar as the parent firm's currency. Answer: Three instances under FASB 52, in which
STEPS IN BUDGETARY CONTROL 1. Quantification of plans in relation to sales, production, distribution and finance in terms of objectives and goals set by the management. That i
Explain the concepts of Planning the work Determine scope and objective of the audit (to verify assets, to check adequacy of internal controls etc...). Ensuring appropr
1. The Gulf had sales of AED 20,000,000 and cost of goods sold of AED 10,250,000. Selling and administrative expenses represented 8 percent of sales. Depreciation was 5 percent o
What does it mean when we say that the correlation coefficient for two variables is -1? What does it mean if this value were zero? What does it mean if it were +1? Correlation is
Net Present Value (NPV) : In this technique, future cash flows are discounted to the present and then compared with the investment outlay. The basic discount rate is generally
Q. What is Evaluation of Credit Policy? Evaluation of Credit Policy: - A credit policy is prepared to maintain the investment in receivables at optimum level. Receivable Turnov
Expects the per capita expenditure: A township expects its population of 5,000 to grow annually at the rate of 5%. The township currently spends $300 per inhabitant, but, as t
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