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VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)

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VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)</div>
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VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)</div>
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VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)

VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501) VU Final term solved papers ( FIN630, MKT501, ECO403, ACC501)VU Final ter...

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ACC501 Assignment no. 02 Solution

ACC501 Assignment no. 02 Solution

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ACC501 Business Finance (GDB). No. 02 Discussion and Solution Due Date: January 26, 2016

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<u style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Topic/Area for Discussion</u></div>
<div align="center" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; text-align: center; vertical-align: baseline;">
 <b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">“Capital Budgeting”</b></div>
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                                            <strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Due date: 26 january, 2016</strong></div>
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<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">                                                                                                             Total Marks 5</strong></div>
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<span class="font-size-3" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 12pt !important; line-height: 1.2 !important; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Discussion Question:</b></span></div>
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IRR and NPV techniques are widely used by <span class="IL_AD" id="IL_AD2" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">corporate managers</span> to evaluate different <span class="IL_AD" id="IL_AD4" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">investment projects</span>. You have learned these techniques in detail in the course of <span class="IL_AD" id="IL_AD1" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">Business Finance</span>. Now, discuss briefly the following questions with conceptual <span class="IL_AD" id="IL_AD6" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">rationale</span>.      </div>
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<ol style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; list-style: none; margin: 5px 0px; outline: 0px; padding: 0px; vertical-align: baseline;">
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Why do we generally prefer NPV over IRR for evaluating every <span class="IL_AD" id="IL_AD5" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">investment proposal</span>?</li>
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Following are the results of two mutually exclusive projects. Which project should be accepted and why?</li>
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<span style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><a href="http://api.ning.com/files/7wlIZRNflU7NzApGaCzJS5DAVOQFdGBrdaFGWDtHe-CynDy2lxCC8CbzrId5kPgs8gUms7wi*A*43oxvjEny6-n6yxEICLSe/acc501gdb2.JPG" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;" target="_self"><img class="align-center" src="http://api.ning.com/files/7wlIZRNflU7NzApGaCzJS5DAVOQFdGBrdaFGWDtHe-CynDy2lxCC8CbzrId5kPgs8gUms7wi*A*43oxvjEny6-n6yxEICLSe/acc501gdb2.JPG" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; clear: both !important; display: block !important; margin: 5px auto 10px !important; outline: 0px; padding: 0px; text-align: center; vertical-align: baseline;" width="224" /></a></span><br />
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<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Important Instructions:</strong></div>
<ol style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; list-style: none; margin: 5px 0px; outline: 0px; padding: 0px; vertical-align: baseline;">
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Your discussion must be based on logical facts.</li>
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Do not copy or exchange your answer with other students. Two identical / copied comments will be marked Zero (0) and may damage your grade in the course.</li>
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Obnoxious or <span class="IL_AD" id="IL_AD3" style="background-attachment: scroll !important; background-clip: initial !important; background-image: none !important; background-origin: initial !important; background-position: 0% 50%; background-repeat: repeat !important; background-size: initial !important; border-bottom-color: rgb(27, 142, 222) !important; border-bottom-style: solid !important; border-bottom-width: 1px !important; border-left-width: 0px; border-right-width: 0px; border-top-width: 0px; color: rgb(27, 142, 222) !important; cursor: pointer !important; display: inline !important; float: none !important; font-family: Verdana, Geneva, Tahoma, sans-serif !important; font-size: 12px !important; margin: 0px; outline: 0px; padding: 0px 0px 1px !important; position: static; text-decoration: underline !important; vertical-align: baseline;">ignoble</span> answer should be strictly avoided.</li>
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Questions / queries related to the content of the GDB, which may be posted by the students on MDB or via e-mail, will not be replied till the due date of GDB is over.</li>
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ACC501 solution 2016</div>
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<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<span style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">NPV method entirely depends on estimated cash flows as it is a discount rate which tries to make NPV of cash flows of a project equal to zero. If you are using this method to make a decision between two projects, then accept the project if the IRR is greater than the required rate of return.....</span><br style="font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px;" /><br style="font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px;" /><span style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Ans no 2. The firm which required rate of return is higher than that firm is better which required rate of return is high than the other firm A means project A because required rate of return of Project A is higher</span></div>
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<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<span style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">NPV method entirely depends on estimated cash flows as it is a discount rate which tries to make NPV of cash flows of a project equal to zero. If you are using this method to make a decision between two projects, then accept the project if the IRR is greater than the required rate of return.....</span><br style="font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px;" /><br style="font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px;" /><span style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-family: Tahoma, Verdana, Arial, sans-serif; font-size: 14px; line-height: 19.6px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Ans no 2. The firm which required rate of return is higher than that firm is better which required rate of return is high than the other firm A means project A because required rate of return of Project A is higher</span></div>
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ACC501 - Business Finance GDB No. 2 Solution Fall 2015 Due Date Tuesday, January 26, 2016</h1>
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ACC501 - Business Finance GDB No. 2 Solution Fall 2015 Due Date Tuesday, January 26, 2016 </div>
<table border="1" cellspacing="0" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border-collapse: collapse; border-spacing: 0px; border: none; color: black; font-size: 16px; line-height: 20.8px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><tbody style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Discussion Question:</strong></div>
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IRR and NPV techniques are widely used by corporate managers to evaluate different investment projects. You have learned these techniques in detail in the course of Business Finance. Now, discuss briefly the following questions with conceptual rationale.      </div>
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<ol style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; list-style: none; margin: 5px 0px; outline: 0px; padding: 0px; vertical-align: baseline;">
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Why do we generally prefer NPV over IRR for evaluating every investment proposal?</li>
<li style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 1em; margin: 0px 0px 3px; outline: 0px; padding: 0px; vertical-align: baseline;">Following are the results of two mutually exclusive projects. Which project should be accepted and why?</li>
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<table align="left" border="1" cellspacing="0" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border-collapse: collapse; border-spacing: 0px; border: none; font-size: 16px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><tbody style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Years</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Project A</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Project B</strong></div>
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<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">0</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
(Rs. 17,000)</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
(Rs.17,000)</div>
</td></tr>
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">1</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 8,000</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 2,000</div>
</td></tr>
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">2</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 7,000</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 5,000</div>
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<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">3</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 5,000</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 9,000</div>
</td></tr>
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">4</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 3,000</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 9,500</div>
</td></tr>
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">NPV</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs.6,588</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
Rs. 7,594</div>
</td></tr>
<tr style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<strong style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">IRR</strong></div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
20.0 %</div>
</td><td il_cc="1" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
18.55 %</div>
</td></tr>
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ACC501 Business Finance (GDB). No. 02 Discussion and Solution Due Date: January 26, 2016

Topic/Area for Discussion “Capital Budgeting” Due date: 26 january, 2016 ...

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ACC501 Mid Term Papers

ACC501 Mid Term Papers

ACC501 Mid term papers: http://q.gs/9YXvy Mid term papers 2: http://q.gs/9YXwJ

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ACC501 Assignment No. 01 Solution

ACC501 Assignment No. 01 Solution

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ACC501 Solution of Assignment No. 01 Due date december 03, 2015

<span style="background-color: white; font-size: 16px; line-height: 20.8px;">ACC501 Business Finance (Assignment) No. 01 Discussion and Solution Due Date: December 03, 2015</span><br />
<span style="background-color: white; font-size: 16px; line-height: 20.8px;"><br /></span>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhL1gF3X5qryQa5gZ0iTXIyC3_z0bC4mvJvL9fLlnRRSbvBI-84yjx1tqGZM_-lEve-GD6X6jkAF6iESMwScRh3WH5TRYFE671kr55YSeUPupGTinwv-qYc7AVCaTRll4Wm8yYAjc1HtBI/s1600/images.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhL1gF3X5qryQa5gZ0iTXIyC3_z0bC4mvJvL9fLlnRRSbvBI-84yjx1tqGZM_-lEve-GD6X6jkAF6iESMwScRh3WH5TRYFE671kr55YSeUPupGTinwv-qYc7AVCaTRll4Wm8yYAjc1HtBI/s1600/images.jpg" /></a></div>
<span style="line-height: 20.8px;">SEMESTER FALL 2015</span><br />
<span style="line-height: 20.8px;">BUSINESS FINANCE (ACC501) </span><br />
<span style="line-height: 20.8px;">ASSIGNMENT NO. 01</span><br />
<span style="line-height: 20.8px;">DUE DATE: 3RD DECEMBER, 2015</span><br />
<span style="line-height: 20.8px;">MARKS: 20</span><br />
<br />
<span style="line-height: 20.8px;">Learning Objectives:</span><br />
<span style="line-height: 20.8px;">After attempting this assignment enthusiastically, the students will be able to:</span><br />
<span style="line-height: 20.8px;">. Apply the techniques of ROA and ROE for financial decision making. </span><br />
<span style="line-height: 20.8px;">. Calculate required rate of an investment plan.</span><br />
<span style="line-height: 20.8px;"><br /></span>
<span style="line-height: 20.8px;">Question # 1</span><br />
<span style="line-height: 20.8px;">Ali Corporation is engaged in the furniture manufacturing business. Following are </span><br />
<span style="line-height: 20.8px;">some of the financial figures of company:</span><br />
<span style="line-height: 20.8px;">Sales</span><br />
<span style="line-height: 20.8px;">Rs. 760,000</span><br />
<span style="line-height: 20.8px;">Net Profit</span><br />
<span style="line-height: 20.8px;">Rs. 85,000</span><br />
<span style="line-height: 20.8px;">Total assets Turnover</span><br />
<span style="line-height: 20.8px;">0.70 times</span><br />
<span style="line-height: 20.8px;">Total Debt Ratio</span><br />
<span style="line-height: 20.8px;">0.30 times</span><br />
<span style="line-height: 20.8px;">The company wants to increase its profits but it requires more investment of Rs. 240,000 in assets for opening new branches. The company wishes to finance its new assets in equal proportion of debt and equity. There will be an increase in sales that will lead to a positive change of Rs. 21,000 in the profit of the company.</span><br />
<span style="line-height: 20.8px;">Required: (5 + 5 + 3 +2)</span><br />
<span style="line-height: 20.8px;">a) Calculate the ROA (Return on Assets), ROE (Return on Equity) before investment.</span><br />
<span style="line-height: 20.8px;">b) Calculate the ROA (Return on Assets), ROE (Return on Equity) after investment.</span><br />
<span style="line-height: 20.8px;">c) Compare the findings of above A & B.</span><br />
<span style="line-height: 20.8px;">d) As a manager of the company do you recommend this change or not?</span><br />
<span style="line-height: 20.8px;"><br /></span>
<span style="line-height: 20.8px;">Question # 2: (5)</span><br />
<span style="line-height: 20.8px;">Mr. Ali is a salaried person and wants to buy a house after 10 years. At that time, he </span><br />
<span style="line-height: 20.8px;">would be required to have an amount of Rs. 1,500,000 for the purpose. Currently, he has </span><br />
<span style="line-height: 20.8px;">Rs. 600,000 to invest. He has found an investment plan that promises to pay Rs. </span><br />
<span style="line-height: 20.8px;">1,500,000 after 10 years if he invests Rs. 600,000 now. You are required to calculate the </span><br />
<span style="background-color: white; line-height: 20.8px;"></span><br />
<span style="line-height: 20.8px;">interest rate offered by the investment plan?</span><br />
<span style="line-height: 20.8px;"><b><u><span style="font-size: x-large;"><br /></span></u></b></span>
<span style="line-height: 20.8px;"><b><u><span style="font-size: x-large;">SOLUTION</span></u></b></span><br />
<span style="line-height: 20.8px;"><b><u><span style="font-size: x-large;"><br /></span></u></b></span>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"><u style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">1.         Total Debt Ratio</u></b></div>
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This ratio takes into account all debts of all maturities to all creditors. It is computed as:</div>
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<br /></div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Total Debt Ratio =Total Assets-Total Equity / Total Assets</b></div>
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<br /></div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<br /></div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">2.<u style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">         Inventory / Asset Turnover Ratio</u></b></div>
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Inventory turnover can be calculated as:</div>
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<br /></div>
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<br /></div>
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Inventory turnover Ratio =  COST OF GOODS SOLD/ INVENTORY</div>
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<br /></div>
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OR U CAN SAY , IN THIS QUESTION</div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<br /></div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
 <b style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Inventory turnover Ratio = sales/assets</b></div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
</div>
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<br /></div>
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VERY EASY </div>
<div style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 0px; font-size: 16px; line-height: 20.8px; margin-bottom: 5px; margin-top: 5px; outline: 0px; padding: 0px; vertical-align: baseline;">
<br /></div>
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ROA(RETURN ON ASSETS=NET INCOME/TOTAL ASSETS</div>
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ROE (RETURN ON EQUITY)=NET INCOME/TOTAL EQUIITY</div>
<br />

ACC501 Solution of Assignment No. 01 Due date december 03, 2015

ACC501 Business Finance (Assignment) No. 01 Discussion and Solution Due Date: December 03, 2015 SEMESTER FALL 2015 BUSINESS FINANCE (AC...

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ACC501 Business Finance (GDB) No. 01 Discussion and Solution Due Date: November 20, 2015

<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhJx0CIDxxuWbn6G1nHeRzTbOdSFZpfZu5lgewCUsZBPMcfFurSPKzrCBxdNbaiXg4UobJUzk6C3sOt9djuifj3l5kFbMCJvnnspf9HshCacvbDEkirPSGAq0yvJoOTEf8c8bjm0YqWMF8/s1600/download2.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhJx0CIDxxuWbn6G1nHeRzTbOdSFZpfZu5lgewCUsZBPMcfFurSPKzrCBxdNbaiXg4UobJUzk6C3sOt9djuifj3l5kFbMCJvnnspf9HshCacvbDEkirPSGAq0yvJoOTEf8c8bjm0YqWMF8/s1600/download2.jpg" /></a></div>
Dear Students!<br />
This is to inform that Graded Discussion Board (GDB) No. 01 will be opened on November 17, 2015 for discussion and last date for posting your discussion will be November 20, 2015.<br />
<br />
Topic/Area for Discussion<br />
 “Agency Problem”<br />
<br />
This Graded Discussion Board will cover lesson # 1 to 10.<br />
<br />
Discussion Question:<br />
The primary role of management in any firm is to act in the best interest of the owners to maximize their wealth. But, generally the management makes decisions to promote their own interests which may conflict with the owners’ interests. This practice creates agency problem. However, the firm’s owners can develop a system to minimize this conflict.<br />
<br />
Being the student of business finance, discuss briefly the ways which may assist the owners for developing a system to counter agency problem.<br />
Note:<br />
For acquiring the relevant knowledge, do not rely only on handouts but also watch the course video lectures and read additional material available online or in any other mode.<br />
<b><u><br /></u></b>
<b><u>Solution</u></b><br />
<br />
<br />
In corporate finance, the agency problem usually refers to a conflict of interest between a company's management and the company's stockholders. The manager, acting as the agent for the shareholders, or principals, is supposed to make decisions that will maximize shareholder wealth. However, it is in the manager's own best interest to maximize his own wealth. While it is not possible to eliminate the agency problem completely, the manager can be motivated to act in the shareholders' best interests through incentives such as performance-based compensation, direct influence by shareholders, the threat of firing and the threat of takeovers.<br />
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ACC501 Business Finance (GDB) No. 01 Discussion and Solution Due Date: November 20, 2015

Dear Students! This is to inform that Graded Discussion Board (GDB) No. 01 will be opened on November 17, 2015 for discussion and last da...

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