(A) General Expenses (B) Personal expenses (C) Expenses of Income which is taxable under the other heads of income (D) Charities and donations Choose the correct answer from the options given below:
Assertion (A):Firms opt buying an asset if the equivalent annual cost of ownership and operation is less than the best lease rate it can get . Reason (R): Operating leases are attractive to equipment users if the lease payment is less than the user’s equivalent annual cost of buying the equipment. In the light of […]
Sales Price: Rs. 25 per unit Variable manufacturing costs: Rs.12 per unit Variable selling costs: Rs. 3 per unit Fixed factory overheads: Rs. 5,00,000 Fixed selling costs: Rs. 3,00,000
a. Dividend payout ratio refers to that portion of total earnings which is distributed among equity shareholder of the company b. ‘Bird in hand’ argument is given by Gordon’s model c. MM model suggest that the dividend payment is very relevant for value of the firm d. Walter’s Model Suggests that dividend payment does […]
Methods Formula a) ARR Method i) Present value of Cash Inflows – Present value of Cash Outflow b) Pay back period Method ii) Present value of Cash Inflow ÷ Present value of Cash Outflow c) NPV Method iii) Average Income ÷ Average Investment d) Probability Index iv) Investment ÷ Annual Cash Inflows
