Tag Archives | Problems and Solutions on Financial Management

Here is a compilation of various financial management problems along with its relevant solutions. Problem 1: From the following project details calculate the sensitivity of the: (a) Project Cost, (b) Annual Cash Flow, and (c) Cost of Capital. Which variable is most sensitive? Project Cost Rs. 12,000 Life of the project 4 years Annual cash flow Rs. 4,500 Cost of [...]

Here is a compilation of various financial management problems along with its relevant solutions. Problem 1: ABC Ltd. is considering a project with following cash flows:     Solution: Problem 2: ABC Ltd. has a choice between three projects: X, Y, Z. The following information has been estimated: Problem 3: XYZ Ltd. company has estimated unit variable cost of a [...]