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Answer all questions and provide solving 1. LENEVO Ltd. needs to get M/s. ACER Ltd. The accounting report of Panther Ltd. as on 31st Walk,

Answer all questions and provide solving

1. LENEVO Ltd. needs to get M/s. ACER Ltd. The accounting report of Panther Ltd. as on 31st Walk, 2019 is as per the following:

Liabilities ' Assets '

Value Capital (50,000 shares) Cash 40,000

Held earnings 2,00,000 Debtors 90,000

12% Debentures 4,00,000 Inventories 2,00,000

Banks and other liabilities 3,20,000 Plants and Eqpt. 13,00,000

16,20,000 16,20,000

Extra Data:

(i) Shareholders of LENOVO Ltd. will get one offer in ACER Ltd. for each two offers. Outside liabilities are required to be settled at ' 5,00,000. Portions of LENOVO Ltd. would be given at its present cost of ' 15 for each offer. Debentureholders will get 13% convertible debentures in the buying organization for a similar sum. Indebted individuals and inventories are relied upon to acknowledge ' 2,00,000.

(ii) LENOVO Ltd. has chosen to work the matter of ACER Ltd. as a different division. The division is probably going to give incomes (after charge) to the degree of

' 5,00,000 every year for a very long time. LENOVO Ltd. has arranged that, following 6 years, this division would be demerged and discarded for ' 2,00,000.

(iii) The organization's expense of capital is 16%.

Make a report to the Leading body of the organization informing them about the monetary plausibility concerning this obtaining.

Net present qualities for 16% for ' 1 are as per the following:

Years 1 2 3 4 5 6

PV .862 .743 .641 .552 .476 .410

2. In Current Proportion, Current Resources are contrasted and:

(a)Current Benefit .

(b)Current Liabilities

(c)Fixed Resources

(d)Equity Offer Capital

3. There is weakening in the administration of working capital of XYZ Ltd. What does it

allude to?

(a)That the Capital Utilized has decreased,

(b)That the Benefit has gone up,

(c)That account holders assortment period has expanded,

(d)That Deals has diminished.

4. Obligation to Add up to Resources Proportion can be improved by:

(a)Borrowing More

(b)Issue of Debentures

(c)Issue of Value Offers

(d)Redemption of Obligation.

5. Proportion of Net gain to Number of Value Offers known as:

(a)Price Income Proportion

(b) Net Benefit Proportion,

(c)Earnings per Offer

(d) Profit per Offer.

6. A Current Proportion of Short of what One methods:

(a)Current Liabilities < Current Resources

(b)Fixed Resources > Current Resources

(c)Current Resources < Current Liabilities

(d) Offer Capital > Current Resources

7. A firm has Capital of 10,00,000; Deals of 5,00,000; Net Benefit of . 2,00,000 and

Costs of . 1,00,000. What is the Net Benefit Proportion?

(a)20%

(b) half

(c)10%

(d)40%

8. Providers and Banks of a firm are keen on

(a)Profitability Position

(b)Liquidity Position

(c)Market Offer Position

(d) Obligation Position

9. Which of coming up next is a proportion of Obligation Administration limit of a firm?

(a)Current Proportion

(b)Acid Test Proportion

(c) Interest Inclusion Proportion

(d) Borrowers Turnover

10. Net Benefit Proportion for a firm remaining parts same however the Net Benefit Proportion is diminishing. The

justification such conduct could be:

(a) Expansion in Expenses of Products Sold

(b)If Expansion in Cost

(c) Expansion in Profit

(d)Decrease in Deals.

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