Question
An internal aid that may be added to include something
within a Section or to exclude something from it is known as ___________.Solution
A proviso is a clause which is added to the statute to accept something from enacting clause or to limit its applicability. As such, the function of a proviso is to qualify something or to exclude, something from what is provided in the enactment which, but for proviso, would be within the purview of enactment.
Raman Ltd. is evaluating a new machine costing ₹60 lakhs with a useful life of 5 years. The expected annual operating cash inflows (after-tax) are ₹...
ABC Ltd. is evaluating two projects. Project A requires ₹50 lakhs investment and offers IRR of 14%. Project B requires ₹40 lakhs and gives IRR of 12...
All of the following are capital receipts, except ________
A firm is considering replacing its old machine with a new one.
Old machine: Book value = ₹8L, Salvage = ₹2L
New machine: Cost = ₹20...
If two mutually exclusive projects have conflicting rankings under NPV and IRR, which method should be preferred?
According to the Trade-off Theory, firms balance:
Mr. Bhandari purchased a car for 50,000, making a down payment of 10,000 and signing a *40,000 bill payable due in 60 days. As a result of this transact...
A project requires an investment of Rs. 10,00,000. It generates annual cash inflows of Rs. 3,00,000 for 5 years. If cost of capital is 10%, should the p...
A project will be financed with a mix of equity and a concessional government loan carrying interest below market and a partial guarantee fee. The proje...
Which of the following is/are examples of capital expenditure?
