CA final SFM doubts

as far as second doubt is concerned

Yes the question states both the fixing date and reference rate at the same time...

Yup the same is confusing

But ya one thing is pretty much clear that a 6x9 fra means that we will recieve 100cr after 6 months that will be in surplus for 3 months

And we also know rthat reference rate means rate prevailing 2 days prior to the date of reciept of 100cr i.e.  the rate prevailing after 6 mths

So we may conclude dat question has given rates of MIBOR prevailing after 6 mths

since the funds will be in surplus for 3 mths

we will use 3 mth forward rate

regards

rahul

Thanks for your reply Rahul, however I am quite not satisfied even now. 

Would solicit replies to my doubt 1 and 2. 

Doubt 3

Refer Q29 in Practice Manual for SFM. Link https://220.227.161.86/21578sm_sfm_finalnewvol2_cp13.pdf

Why has the valuation of the terminal value of cash flows for been done at (375.32/(12%-9%)) instead of (12%-10%).

I feel it should be valued at 12%-10% because:

12% is the Ko

10% is the growth.

There is no such 9% rate except the Kd. Even then, why has the valuation of the terminal value of FCFF been done at 12%-9% instead of 12% - 10%???

Thanks,

Sid

Doubt 4:

Presentation of Leasing Decisions

When the asset is taken by borrowing funds, and the discount rate is the post tax cost of debt.

Then do I need to show the repayment schedule seperately?

Or can I just say that the PV of the loan taken discounted at the post tax cost of debt is equal to the principal taken?

Please advise.

awaiting reply...

SFM supplementary problem doubt in financial services in india

Dear sir,

​I have a doubt in SFM problem,

 how 

​"​

cost of long term fund invested in debtors

​"​

 is calculated in solution image 

​I​

 mean Rs 943.8 crores and Rs 882.42 crores for recourse/non recourse options under fine bank proposal

thank u advance

​Regards,

vamshi

Audit Executive

S.H. Bhanadari & co

Begumpet, Hyderabad​