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 12)
KBC M&tg
O) A tnd€r is havingin its ponfotio
ar cuEe pnceod 5
cah I 15iatis, Tnebelaofsbe
Polrforioisl;Inei3
sndesdrclped by 3.2%.

(r) CuEentpoifotio beia. Y.''.

(ii) Ponfolio betaafttr 3 nonthsif ther.aderon cuefi
dategoosfor lon8
posinonor I l00lalhs NAy futures.

You,a foEign excnog€d*Lr of you bulr, de inJomeo

Jt) oar you bankbas
eld a T,T o Clpe.na€gqforDmjsh{rcna lO,@,000
at tneRte of Danisn
(oer I = I 6 5t5O_you
de @qunedb iovq llre ndsacnon eilbq in
LoDdonc New york naket. TheEtes onthardate
@ 4 underI
I ?4.3000 < 1432@
.*:"if
149.500 ? 49.2625
";01, tedon-Colohagq DKK 1t.4200 DKK .4350
{r NcwYdt-Copennrgen DKK07.56?0 DKK O7_j840

In which @k€r qili you cov€r rte rtu&tion, t4ndo!

or New york, md
whalwil be theexchans€
profir or l4s on ihe Eesaction?rgooEbbterages.

{a2.4tor-W-zOto, r"tt. x tttesledI 50,ooo/_ at inirisl ofis in MutualFundsar!

" faceyalueoft tOeachler eit, Otr31_03,201 t, a divid@dwd prd @ lO%
and mnalted yield w4 t2O%.On 3t-03,2012,20*
divid€nded.apital
grin of I 0.60perunir wN given,Mr, X re.leemed
a{ his 6271_98uits when
his eouatizedletd was71.50%over&e pqiod of nol(ling.

Calculate
NAv d dn3l,03_2011,
3!03 2Ot2tud 3r_03-2013.
Fo. c.lcutationscoBider a y@ of 12nontls.

KBC

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 (3)
KBC Mrks
2, (a) Mr. Rmis holdingthefoloMq sondtics | 8
Parricdsof C6t DivideDd! Mdt erPrt@ Detr
s4utd6 I I I

Goldltd 11,000 1.800 0.6

12,000
Silverl-ld. 16,000 1,000 77,2@ 0.8

BroEel,td, 12,000 800 18,U00 0,6

COI Bond! 40,000 4,000 3?,500 r.0

(i) ExFcted rate of rc1M in e&h ca6e,u5ingthe Capiat A*er lricirg

*'
ModelrcArM) {.+lk

(n) AvdagE.ateof Etm, if .isk&@ mteof Etm is 14%.

(b) An Andicm lim is und.r ouigation ro lay i erestsof Ce$ 1010000.nd 8

C.n$ 705000on 31'' Jrily md 3Cf Slptenbg!!9!p!9tively. TIE Fim is risk

avese dd iE policy is to hedgethe lisls inolved in all forign cuercy

ttus&liom. Tne Fimce Mdager of lne nm is ilinking of hedginerherist
coNid.lilg two nerhodsi.e. fixcd fosdd o. optionconrrels.

ft is now luc 30,Fouowingquoralion!regddilg n0esof excheg., US$per

Ce$, tom ile 6m's banl w€reobtaine.l,

Spot I Mqftrotrlrd 3 MoDtb Fonard

0.9284-09288 0_9101 0.9356

KBC P.T.O,

CCI Online Coaching Call: 1800-3000-0505 | 088803-20003

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 (4)
r!c

lia ca$ 50000)e as

sd& 8cb
(Us$/can$) Jtly sepl. Jdly

0.91 1.56 2.56 0,88 1.15

1.02)

r.Jl) 0.65 \.92 2,34

Accodiog lo the suggestionof fin

ce mtuagd if op:iotu de o Deus€d,
on€
'*m
rq!e!{i!ed
"p9!ry!{1S-E-!99e!1_q!q ce oi ea
9{!3!a
cenk!!s-!!ee
tud lhreenond
no i
optionar a strikep.jce of 95 cenlsbd
for dE reminder unmvded by rne
opliom the fia woutribee {rerisk irseli
Fo. {is, ir wourduseioflard nle
a ft'e beste!!i@re of spot.Ttusactioncosts jgmred.
a€
Recomnd, which of tne Ebovetwo
belhodswouldbe approFatefor tne
anenc& 6m b ledge ih foEi8n
ex.hog€ risk on lne lwo interest

AAC Ltd. is contenplalinghavingm

ecess to ! m&linE
'Ihe l0
y€es- comptuyc@ havetne ue of dr€machhe
fo. rhc
urcu8t l€asingdaeenoi u th€€quisite
dount ca be
rhe nachirc. h ca6eof te6ing, ,6e cohpany
@ei!€rt c

i':c

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 (5)
KBC Marts
In c6e of purhase ({hich costs{ 10,00,000/-)
the conpoy wouidlave a
12%, 5 yed loan to be paid in equatedinstallments,each insta!rent
b4onirg dueat rhebeginnirgof e&h yed, It is esti@tedda11h€nachine
al theendof 5ri yed, Thecompdy usesslrtugnt
cu be soldfo! a 2,OO,OOO|
Coryonteraxnte h 30%,Pdt hx costof capitol
line nerhodof depreciation.

You e Eguiredto advice

(i) Whelherthetuchine r\ould beboughtor uken on lease.

(ii) Analysethe finecial viabiliry from tlte point of view of tije l€$or
a$uning t2% pos!tax costof capiul.

Pvof( I @ 10%for5 y€m PV of< I @ 12%fo.5ye.6

,909 .893

.426 .197

.751 .112

.683 .636

.621 ,561

(b) M/s Atldtic Codpad, Liniled qith a tudover of i 4.80crcrcsis ex!€ctirg 6

growthof 25% ior fonhconing ye4, Av€rr8Ededit ptriod is 90 days.Tte
pdt expdence lhoNs thal bad debt ldses de 1.?5% on sales.The
conpdy ! adrunrrnng coJ lorcolletuog
E-o\ ab.e;i5I 6.00.000/-
xtc P.T.o.

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 (6)
KBc M&tN
It ba3deided b t.ke frctding seNicesof pacificFetors
o! ted! rar factd
vill buy.eceivables
by chdgile 2% comissio. tud 20%ns* yiti reome_
TheF&tor witt payadyuce or reeivable! io ih. fm
at t6% ,n0erest
nte
p€r mnun .ne. wirhholding10%asresePe.

CaLdate rheeffectve costof tadonng b tbe fm. (Assu@

360 daysin !

Trulti Co. Lld, prcnoted by a Mutrinarionalgrc!! -INTERNAITONAL

8
_/, INC" is lhted on st@kexchtuB€holding84%i.e. 63 llkhs
sh@i
Profit aftd Td is I 4.80cbEs.

FEe FloarM&ker Calitalizario!is { 19.20crcrcs,

As pe. lhe SEBICudetin* pono1ershaveto qFicl dEn

hotdingto ?5%to
a!oid.tel,Ms Fofr fe shh erchtuse. Bodd or DiecroBhs de(; mL
to deusttie shue bur !o comptyvith the SEBI
€nidetins oy rssunSsonu6
sn@sb ninorily sh@hold4 wnib mintaining tnes@ p/E
nrio,

@2 !!
(i) P/ERatio

(in) Mrl<et prie of sha€bcforeandoftertn€issue

of bonusshues
(iv) F@ FloatMrlet.apitalizariod oI fie mDpey
aftd oE bonussh@s.

KBC

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 (:1)
KBC Muks
(b) Conpdy Limit€d is cmsid€dnga newprojeclwitn initial 8
aproduct SuryiYal, 11t estimted tnatIRRof thePloj*! h
estinatedlif e-gllf gl_

Fiodcial Managerhas studiedde proj4t siti sesitlvitv salvsis $d

infodEdlllat muar naddcosrsdsidvny_|lryliy:yEreas cosroi caei',r
(discou.tratq snsitivit/ is!04

Otner inJo@ti@ available@ :

Prcfitvolune Ratio(P/v)i! p,

Vdiablecosr< 60/-ler uri

AmudlCashnow t 57,500/-

Ignore D@r@iationon iniiial invesrnent md iopacl of ld6ri6n.

Inirial Inleshe.t of rheI'roi@t

(ii) NetPresentValu€of rhePrcj4t

(iv) Estimted mual uir of saler

CunulativeDiscoEdngFrcrd for 5 yeds

KBC P,T.O.

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 (BC
5 (YWt tte"t ltd, weh 10 acquie I'l/s lJopan1 ud, The balmce sheer
of 10
-_./,/ rrop&d L!d. 6 on 3t', Meb, 2012is asfolloqr :

t0,000
t,00,000

3,00,000 70,000
3,00,000 2,00,000

13,00,000
r,20,000

r6r0,000 16,20,000

Addiiiotrql lbformetlon :

Sheholdeft of LeopardLtd. vlll e€ron€sn@ in Tiger Ld. for every

two shes, Exlernatliabititiestr. exp€.1ed
to be setttedar I 5,oo,ooo.
Shd€sof Tiger Ltd. woutdbe issuedat its cur€ft plice of i t5 per
she. Debenturehotdes
w get 13% convdlible debemuesin th€
pwbashg coDpanyfor dr€s4e oouot. Debtorsandinv€nbnes
@
expected
io realizei 2i00.000.

(ii) Tiger Ltd. hasdeided 10 operaretle businessof L@pdd Lrd. as

a
sep@ledivision.Tnedivisionis titeiy to give cdh fiows (afid ld) to
the e(ent of I 5,00,000pei ye& foi 6 yeds. Tiger Lrd. hs plannert
tna! afrer6 y€ds, rhisdjvisjoneould be demerged
&d disposedof lor
l2,oo,o0o.
(iii) Thecomldy,s costof capitalis l6%.

KBC

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 (9)
KBC Ml.ks
Mate a Epon io rtreBolrd of de comptuyadvisingthen
feasibilityof |his .cquisirion.
Net prese value!for 16%fo! { t &e asfolows :

3 5

PV .462 .641 .552 .410

(b) Rm buys 10,000sh@6 of X L.l at a price of I 22

Fr sbre wnosebera
\alk i IJ andseth5.000shm! or A Lb a; price
or { a0 ps sh@
havinga betaval@ of2. He obtainsa conptetehenge
by Nihy tuturesat I
t.000each.H. cl$e! our hi\ polidonor lhe Llosingpri(e
of LheDelrdly
wnen.rhe+ft oI X I ld. dr@pa o) 2%,$re oiA Lrd,appT(ja,rd
by J.t
ed Nifrytutu* tuolFed
byt j%. /
Wlat is theovda,I profil / loss10Rm ?

A shue of Tdlion-iee EcononyLtd. h c@ntLy quoted pnce

at a eMjngs
radoof 7.5rire!, The!elai&.t €ming bejng37_5%is a pe.
3 she.

ii) The @npanyt cosr equity, if invelton' exp€cted!a!e of Elum is

128,
t. " .
{_1f-
(n) Meket pde of shee,if aoricipated
Croslnrateis t3% per ehlm with
sd€ costof capilal.
(in) Mrket prjce per she, if thecompmyt
costof.apiral is t8% and
anncipaEdgrowlh &te is 15%per munl osming othe.
@nditions
@aining thesdq
KBC )q.

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 (10)
KBC
Your baol s Londor ofiice hassurplustundsro theeilent of USD5,OO,OO0/_
8
ior a priod of 3 mnths. Ite cost of the tund! io rte bant is 4% p,a. Il
proposes lo invst thesetundsin hndon, N€w york or Franl$[r md obtai.
fte bestyield, vnhou ant €xchdge .isk rote ban( Ihe f;owing ftt€s oi
inte!€stde availableat tn€ lhreecentresfor irvestneni or dodeslic tunds
lh€F at for a period qfbonth.

Frankiult 3% p,a.

Tbe ndkehat€s il Lrndo! fo. US

London orNew York { y^'

1.5350D0

r548

30/35

80/85

r.3260/90

60t55

95/90

t45/L40

At which entre, will the investDrert

|ne nwesr poud) to the b&t or dE

KBC

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 (11)
KBC
Wnt€ shonnoteson dy folr of thefoloving :
=16
(a) Explaintbeconc.pl zero dateor a Prcj@f in pmjat mmagenent.

(b) XYZ Ba.t, Anster<lar, wtuts lo p@h6e Ruptrs 25 nitlion lsainst ! for

nrndingtheir N@tro accourt sd lney havec!€diredLORO &munt with

Banf,ofl-od@,t ndon,

Cabnate the dout of e's credited.Ongoinginterbank rates@ per $,

a 6t,36258?m& pe!!, S t.5260,'0.

wf is & ExcbdgeTEdedPund1 Wtare irsLeyteams r

(d) Vlat i! d equitycwe ow ? How d@sjt diffd non s spinoff ?

(e) wlat is noney m*et ? Whatee jis fsturcs ? Wlar *ind of inefiic:iencies
n

KBC

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