In this article we will discuss about the parameters for capital account and rupee convertibility in the financial markets. Capital Account Convertibility: Capital account convertibility is one of the essential parameters, not only for an effective integration of the financial markets of the domestic economy, with the world economy but also for India's maturing as a mega world economic power [...]
The theoretical business valuation models include the following: 1. Dividend Growth Valuation Model 2. Walter's Share Valuation Model 3. Modigliani and Millers' Dividend Irrelevancy Model 4. Capital Asset Pricing Model. 1. Dividend Growth Valuation Model: The dividends of most companies are expected to grow and the value of shares ascertained is based on dividend growth. Dividend valuation model assumes a [...]
Here is a compilation of top nine problems on cash flow statements along with its relevant solutions. Problem 1: The bank balance of a business firm has increased during the last financial year by Rs.1,50,000. During the same period it issued shares of Rs.2,00,000 and redeemed debentures of Rs.1,50,000. It purchased fixed assets for Rs.40,000 and charged depreciation of Rs.20,000. [...]