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Which of the following is / are RBI conditions applicable for banks declaring dividends?
Which of the following statements with regard to Human Capital is/are correct?
No society shall be dissolved unless …………………of the member shall have expressed a will for dissolution by their other
X Ltd. has failed to remit the tax deducted at source from annual rent of Rs. 6,60,000 paid to Mr. A for its office building. The said rent is
Ram purchased a house in Mumbai in March 2004 for Rs.12,50,000. In April, 2011 entered into an agreement to sell the property to Shyam for a consideration of Rs.19,75,000 and received earnest money of Rs.50,000. As per the terms of the agreement, the balance payment was to be made within 30 days of the agreement. If the intending purchaser does not make the payment within 30 days, the earnest money would be forfeited. As Shyam could not make the payment within the stipulated time the amount of Rs.50,000 was forfeited by Ram. Subsequently Ram sold the house in June,2012 for Rs. 21,30,000. He paid 2% brokerage on sale of the house. Calculate the capital gains chargeable to tax for the assessment year 2012-13. [CII-12-13: 852,11-12: 785,10-11:711,03-04:463]
Urban land means land situated in area not being more than ………………from local list of local authority as notification in official Gazette
Mohan is a manager in ABC Co. Ltd. His family consists of his wife and child. It is assumed that his family needs a minimum of Rs. 10,000 per month to maintain current standard of life in unfortunate case of demise of Mohan. The interest rate is 6% pa. Calculate how much insurance is required under income replacement method?
_______________ and _______________ mandates are two kinds of service level contracts
Mr. Bose runs his Handicrafts business. His net proceeds after deducting both the business expenses and living expenses are Rs. 6,00,000 p.a, which will increase at the rate of 5%. He is a bachelor and don’t intend to start any family in future either. Since he don’t have any family obligations, he wants to sell off his business after ten years and buy a home in foothills of Himachal.
He expects to sell the business for a good amount and put 40% of the proceeds in buying the house and setting up a retirement corpus with the rest of amount to pay off his post retirement expenses. He is philanthropic by nature and thus want to save the net revenues from his business to form a charitable hospital for poor people living in Himachal. His current living expenses are Rs. 4,00,000 p.a which will increase in line with inflation. Inflation rate is 3% and interest rate prevailing is 6%.
As a CWM you are required to calculate:
If any person has escaped assessment for any assessment year in respect of wealth tax no action shall be taken after the expiry of………
Income which accrue or arise outside India from a business controlled from India is taxable in case of:
Which of the following is not true in respect of the conditions essential for taxing income under the head income from House Property?
A portfolio consists of 50% of investment ‘X’ that earned 15%, 25% of investment ‘Y’ that earned 8% and 25% of investment ‘Z’ that earned 11%. Compute the weighted average return?
A copy of the rules & regulations of the society, certified to be correct copy by not less than_____________ of the members of the governing body shall be filled with the MOA
Open Market Operations is an important tool for central banks in ___________.
Total income for assessment year 2007-08 of an individual including long-term capital gain of Rs. 60,000 is Rs. 1,40,000. The tax on total income shall be:
Dinesh took a housing loan of Rs. 25,00,000/- for 15 years in 2010 at a ROI of 11.75% per annum compounded monthly. Calculate the total interest and principle paid by him in the 2014 and 2016.
A)
B)
C)
D)
What is the present value of the following cash flows,if the Interest rate is 8%?
Given the following information:
What is the expected return and standard deviation of the portfolio if 50% of funds invested in each stock? What would be the impact if the correlation coefficient were 0.6 instead of 0.2?
Mr. M is an area manager of M/s Allwin Ltd. During the financial year 2007-08, he gets the following emoluments from his employer:
Compute taxable salary of Mr. M for the Assessment year 2008-09.
Find the Human Life Value for a person who is 30 years old.He wishes to retire at age of 60. Interest rate is expected to be 12%. He spends Rs. 60000 on his personal clothing and Rs. 40,000 on his conveyance. He has paid Rs. 65000 as tax for the year. His gross annual income is Rs. 5 lakhs.
Yogesh Jain is a Chartered Accountant by profession and a very disciplined investor he has started investing from today in an account Rs. 1,00,000 every year (beginning of year) and plans to increase his contribution by 10% every year. If the ROI he gets is 15% per annum compounded half yearly calculate the corpus he would be able to accumulate in 25 years.?
Calculate the death claim amount if the assured dies in the 25th year of the policy. Money back policy with SA of Rs. 50000. Term is 25 years. Survival benefits of 10% each paid at the end of 5th , 10th, 15th, and 20th years. Accrued bonus of Rs. 500 per thousand of SA.Interim bonus of Rs. 75 per 1000 of SA.
The length of the insurance industry’s business cycle is shortened because of
In case of an individual and HUF cash in hand in excess of …………… shall be included in assets
An HUF consisted of a father who is a widower his three sons and a daughter upon death of the father, what will be the share of his daughter?
A Bank is under a statutory obligations to honor its consumer’s Cheque vide
Manjeet, aged 33 years, is having a policy of Rs. 1 Lac sum assured and is paying premium of Rs. 1,800/- for the last 10 years. The cash surrender value of this policy is at the end of previous year was Rs. 20,000. It is estimated that by this year end, the cash surrender value of this policy would be Rs. 22,900. New term insurance of sum assured of Rs. 80,000 costs Rs. 300/- per annum today as per Manjeet’s age. If rate of interest is 6% then please advise Manjeet if it is better to continue this policy or to discontinue it?
A fraud is discovered with respect to an loan that has turned NPA. When is the earliest that it can be treated as a doubtful asset?
Ranbir deposits Rs. 80000 as a lump sum amount in a immediate annuity. He will receive annuity on a monthly basis for next one year. Determine the monthly amount he is entitled to receive. The rate of interest is 15%
If the rates of return from a security are not at all related to the market returns, then the beta for that security will be:
The premium on all other riders put together should not exceed _____ of the premium on the base policy
Investment made in a stock 2 years ago is Rs.1250; the current value is Rs.1300. The dividend received at the end of 2nd year is Rs.150. What is the CAGR?
If a typical market basket of goods and services cost Rs 120 in 1975, the base year, and Rs 180 in 1985, the price index in 1985 would be__________
Arun started a 20-year term insurance policy. Once established, when, if at all, is the insurer next entitled to ask him for proof of continuing good health?
For claiming exemption u/s 54G, the assessed shall acquire the new asset within:
Which annuity provides for regular payments, which stop on the first death among of the covered lives?
Mr. M is an employee of Z Ltd. His basic pay is Rs.24,000 p.a., Dearness Allowance Rs.12,000 p.a; Medical Allowance (fixed) Rs.10,000 p.a.; Conveyance Allowance Rs.6,000 p.a.; Professional Tax deducted from his salary Rs.1,000 p.a.; Free lunch provided during office hours valued at Rs.12,000 for a 300-working day year; free education for two children in a school owned and maintained by the employer – school tuition fee for both the children is estimated at Rs.18,000 p.a.
What is Net Income of Mr. M and examine whether he is a specified or non-specified employee?
A portfolio consists of 3 securities.
What is the standard deviation of the portfolio?
Mr. Pradip completed construction of a residential house on 1.4.2011.
Interest paid on loans borrowed for purpose of construction during the 2 years prior to completion was Rs. 40,000. The house was let-out on a monthly rent of Rs. 4,000.
Property was vacant for 3 months.
Compute the income under the head “Income from House Property” for the A.Y. 2012-13.
Vinod Khanna, aged 27 years, is having a policy of Rs. 15 Lac sum assured and is paying premium of Rs. 14,800/- . The cash surrender value of this policy is at the end of previous year was Rs. 35,000. It is estimated that by this year end, the cash surrender value of this policy would be Rs. 40,000/-. Bonus under this old policy is Rs. 10,000/-.
There is another term insurance policy of Rs. 15 Lac Sum Assured is available to Vinod at Rs. 4,200/- per annum. If rate of interest is 8 % then first calculate the CPT of existing and new policy respectively and then advise Vinod if it is better to continue this policy or to discontinue it?
If a scheme has 45 cr units issued and has a Face Value of Rs. 10 and NAV is at 11.13, unit capital (Rs. Cr) would be equal to
You are considering an investment with the following cash flows. Your required return is 8%, you generally require a payback of 3 years and a discounted payback of 4 years. If your objective is to maximize your wealth, should you take this investment?
X furnishes the following particulars for the compilation of his wealth-tax return for assessment year 2012-13.
Rs. 1.50 lakh settled on a trust for the benefit of Akash and Bina for life. They share the income in proportion of 3:2.Their ages on valuation date are 20 years and 16 years. The average annual income for the last three years on the valuation date is Rs. 15,000/-. Find out the value of life interest of Akash and Bina if the value of life interest of Re 1/- at the age of 20 years is 12.273 and at the age of 16 years is 12.534.
Sachin aged 35 years is married and is working as a manager in M/s Birla Mill Ltd. His most likely retirement age is 60 years. His present salary is Rs. 3,00,000/- pa. His self-maintenance expenses are 30,000/- per year. Life insurance premium paid is 15,000/-. Income tax & professional tax amount to Rs. 20000/-. Rate of interest assumed for capitalization of future income is 8%. Calculate Sachin’s HLV to recommend adequate insurance cover
What amount needs to be deposited today in an account that would pay Rs. 1,10,000 per year for the first 10 years and Rs. 2,25,000 for the next 5 years. If the ROI for the first 10 years if 10.75 % p.a. compounded annually and 13% p.a. compounded quarterly for the balance period.?
"Consider the following information for three stocks, Stock A, Stock B, and Stock C. The returns on each of the three stocks are positively correlated, but they are not perfectly correlated.
Portfolio X has half of its funds invested in Stock A and half invested in Stock B. Portfolio Y has invested its funds equally in each of the three stocks. The risk-free rate is 5%, and the market is in equilibrium.
Which of the following statements is/are correct?
Kapil is employed by SIDBI. He receives the following emoluments/facilities during 2006-07: Basic Salary Rs.1,40,000 DA (forming part of salary) Rs.9,000 Sale of computer to him by employer sale price Rs.20,000 (Cost of computer Rs. 2,00,000 used by employee for 3 years and 9 months) Rent free accommodation, the F.R.V. of which is Rs. 24,000 p.a. His taxable income for the assessment year 2007-08 shall be:
Pushkar completed the construction of a house property on 14.8.2008 with borrowed capital of Rs.800000 @ 12%. The loan was taken on 1.4.2006 and is still outstanding. The house was used for his own residence during the entire FY 10-11. Deduction U/S 24(B) for interest on borrowed capital for FY shall be
The probability distribution of the rate of return on a stock is given below:
What is the standard deviation of return?
Ram deposits Rs. 12,500 in an account that pays a ROI of 20% pea compounded annually on 5th. Of March 2010. Calculate the date on which the balance in his account would be Rs.35,338/-.
Given the following diversified mutual fund performance data, which fund has the best risk adjusted performance if the risk free rate of return is 5.7%
Vinod joined on 01/01/90 in ABC Ltd. and retired on 01/01/2007.Employee paid leave encashment of Rs. 4,00,000/-. His last drawn salary is Rs. 25000/-. His last 10 months average salary is 23500/-. He availed 150 days leave during the service. What will be his taxable leave salary amount?
The expected return and standard deviations of stock A & B are:
Amit buys Rs.20,000 of Stock A and sells short Rs.10,000 of Stock B using all the Proceeds to buy more or stock A. The correlation Between the two securities is. 35. What are the expected return & standard deviation of Amit’s portfolio?
"During the PY 2009-10 a Poonawala Charitable Trust earned an income of Rs. 7 lakh out of which Rs.5 lakh was received during the PY 2009-10 and the balance Rs. 2 lakh was received during the PY 2011-2012.In order to claim full exemption of Rs. 7 lakh in the PY 2009-10:
You are considering investing in following bond:
Your income tax rate is 34 percent and your capital gains tax is effectively 10 percent. Capital gains taxes are paid at the time of maturity on the difference between the purchase price and par value. What is your approximate post-tax yield to maturity on this bond?
Dhruv contributes Rs. 25,000 every year starting from the beginning of the 4th year from today till the begning of 12th year in the account that gives a ROI of 11.40% p.a. compounded half yearly. Calculate the Present Value of his contribution today.
You are considering investing in a following bond:
Your income tax rate is 34 percent and your capital gains tax is effectively 10 percent. Capital gains taxes are paid at the time of maturity on the difference between the purchase price and par value. What is your post-tax approximate yield to maturity on this bond?
Shri Ganjarwala Charitable Trust (Regd.) submits the particulars of its income/outgoing for the previous year 2009-2010 as below:
The trust spends Rs 2,77,500 during the previous year 2009-2010 for charitable purposes. In respect of Rs 5,20,000, it has exercised its option to spend it within the permissible time-limit in the year of receipt or in the year, immediately following the year of receipt.
The trust spends Rs 2,00,000 during the previous year 2009-2010 and Rs 1,00,000 during the previous year 2010-2011.
Compute the tax payable on the income of the trust.
Samantha celebrated her 21st birthday today, her father gave her Rs. 6,25,000/- which is deposited in a account that pays a ROI of 12.25% p.a. compounded monthly. If she wants to withdraw Rs. 7,50,000 on her 31st. Birthday and balance on her 41stBirthday. How much can she withdraw on her 41st. birthday.?
Shweta joins a private limited company covered under the PF Act. The employer contributes for all employees up to the specified salary limit. Her monthly salary consists of Rs. 10000 as basic, Rs. 5000 as DA and 10% of the basic as HRA. What would be the deduction from her monthly salary towards the statutory PF benefits?
A portfolio manager is considering buying Rs. 1,00,000 worth of Treasury bills for Rs. 96,211 versus Rs. 100,000 worth of commercial paper for Rs. 95,897. Both securities will mature in nine months. How much additional return will the commercial paper generate over the Treasury bills?
Suresh is an employee of a private company in Mumbai. He draws an amount of Rs 36,000pm as basic salary. He also receives Rs 8000 as HRA. He has taken a house on rent from 1st October and pays Rs 10,000pm as rent for his house accomodation. What would be the taxable HRA?
The probability distribution of the rate of return on ABC stock is given below:
What is the standard deviation of return?
Pankaj is an employee of a private company in Jabalpur. He draws an amount of Rs 36,000pm as basic salary. He also receives Rs 8000 as HRA. He has taken a house on rent from 1st October and pays Rs 10,000pm as rent for his house accomodation. What would be the taxable HRA?
Vinod is projecting an income stream providing Rs. 2,000/- for first 3 months, Rs. 3,200 for next 2 months, Rs. 4,500 for next 1 month, Rs. 3,700 for next 6months and Rs. 800 for 2 months thereafter. Please calculate the Present Value of this cash stream if rate of interest is 9%
Vishal is working with Amex Ltd since October 1, 1997. He is entitled to a basic salary of Rs. 6,000 pm.Dearness Allowance is 40% of Basic Salary for retirement benefits. He retired from his job on December 1,2010 (4 months before the end of F.Y 2010-11) and shifted to his village. He is entitled to the following benefits at the time of retirement. Gratuity = Rs. 98,000. Pension from December 1, 2008 = Rs. 2,000 per month. Payment from recognized PF = Rs. 3,00,000. Encashment of earned leave for 150 days = Rs. 36,000. He was entitled to 40 days leave for every completed year of service. He got 50% of his pension commuted in lump sum w.e.f March 1, 2011 and received Rs. 1,20,000 as commuted pension. Vishal contributes Rs. 900 per month to RPF to which his employer contributes an equal amount. What will be the amount of un-commuted pension for Vishal that will form part of his total income for the A.Y. 2011-12?
Risk free rate = 6%
Rank the funds based on Jenson Measure in order of best to worst.
Calculate the Paid up Value ( PV) under a policy with the following particulars:
Consolidated Reversionary Bonus declared by the insurer from March, 1990 to March 2006 is 550/- per thousand sum assured. Bonus declared for the year ending March 2007 is @ Rs. 70/- per thousand.
If POA in respect of in moveable property of value more than ………………….it must be registered
Rajesh needs Rs 1,00,000/- for his son’s college fees after 4 years time. What amount shall he invest today for 4 years, so that it becomes Rs. 1,00,000 at maturity if ROI is @ 8% per annum, compounded Half yearly?
The Portfolio consists of two securities, X and Y in the ratio of 70:30. Given that
What is the portfolio risk?
Retiring early will ____________ the accumulation phase while ____________ the retirement phase
Which of the following is an aspect of the first principle underlying Supervisory Review Process in Basel framework?
A hired a bicycle from B. The written contract contained a clause which read “Nothing in this agreement shall render the owner liable for any personal injuries to the rider of the machine hired”. Owing to a defect in the brakes of the cycle, A met with an accident and got injured. Can A recover Damages?
A budget deficit leads to a shortfall in domestic savings relative to investment because
Ankur Kalra is 33 years old finance professional. The house hold expenditure of Mr. Kalra is 20,000/- p.m. to maintain his current living standard. He assumes that his living standard will increase 1.5% annually until his retirement at 60. His life expectancy is 70 years. At retirement he needs 75% of his last year’s expenses. Inflation rate for the next 45 years is expected to be 4% p.a.
Calculate how much would Mr. Kalra require in the first year after his retirement, and how much he has to save at end of every year to accumulate this corpus, if the return on investment is 7% p.a.?
R purchased a house property for Rs. 26,000 on 10-5-1962. He gets the first floor of the house constructed in 1967-68 by spending Rs. 40,000. He died on 12-9-1978. The property is transferred to Mrs. R by his will. Mrs. R spends Rs. 30,000 and Rs. 26,700 during 1979-80 and 1985-86 respectively for renewals/reconstruction of the property. Mrs. R sells the house property for Rs. 11,50,000 on 15-3-2007, brokerage paid by Mrs. R is Rs. 11,500. The fair market value of the house on 1-4-1981 was Rs. 1,60,000. Find out the amount of capital gain chargeable to tax for the assessment year 2007-08.
A salaried individual, aged 45 years, was awarded a car of market value Rs. 6,50,000 by his credit card company in a draw on 20th December 2012. There was no TDS by the company. He has total income from salary of Rs. 8,45,000 in the previous year 2012-13. He saved a total of Rs. 1,80,000 under different investment instruments eligible for exemption u/s 80C and Rs. 25,000 was paid by him on 5th January, 2013 towards his health insurance policy. Find his tax liability for AY2013-14.
Miss. Nidhi Gupta has sold 600 calls on DR. REDDY’S LAB at a strike price of Rs.992 for a premium of Rs.25 per call on April 1, 2007. The closing price of equity shares of DR. REDDY’S LAB is Rs.994 on that day. If the call option is assigned against her on that day, what is her net pay off?
Smt. Rajalakshmi owns a house property at Adyar in Chennai. The municipal value of the property is Rs. 5,00,000, fair rent is Rs. 4,20,000 and standard rent is Rs. 4,80,000. The property was let-out for Rs. 50,000 p.m. up to December 2010. Thereafter, the tenant vacated the property and Smt. Rajalakshmi used the house for self-occupation. Rent for the months of November and December 2010 could not be realized in spite of the owner's efforts. She paid municipal Texas @12% during the year. She had paid interest of Rs.25,000 during the year for amount borrowed for repairs for the house property. Compute her income from house property for the A.Y. 2012-13.
From the following information of assets assets and liabilities, the taxable wealth for:
You as a Chartered Wealth Manager have been approached by a client who is depositing some amount in an account that pays a ROI of 12% p.a compounded monthly. She also has an option of investing in another account that pays ROI 12.76% p.a. compounded annually. She wants to know which of these is a better choice.
The following information regarding the equity shares of M/s V Ltd. is given
Calculate the EPS of M/s V Ltd. according to the traditional approach
How much amount should be invested by Mr. Batra today to get a maturity value of Rs. 90,368.50 after 6 years, if available ROI is 10% and compounding is Quarterly for first 2 years, Half Yearly for next 2 years and Monthly for last 2 years?
Amit an industrialist wants to buy a flat in a housing society presently costing Rs. 35,00,000/- after 6 years. The cost of the house is expected to increase by 15% pea for the first 3 years and by 10% in the remaining years. Amit wants to start a SIP with monthly contributions in Birla Front Line Equity Mutual Fund to pay for the down payment of the house which would be 25% of the house value at that time. You as a CWM expect that the fund would give ROI of 14% p.a. compounded monthly in the next 10 years. Please advise Amit the monthly SIP amount starting at the beginning of every month for the next 6 years to fulfill his goal of buying the Flat he desires.
Find out the taxable value of perquisite from the following particulars in case of an employee to whom the following assets held by the company were sold on 1.8.2012.
The assets were put to use by the company from the day they were purchased.
Mahesh earns 1,20,000 pa. He has total debt of Rs. 2,00,000 and have two dependants. Interest rate is 7%, and assumes 80% of his pre-death salary is the estimated requirement to maintain his family after paying the loan. Calculate the life insurance cover needed under multiple approach method.
The expected return and standard deviations of stock A & B are:
Amit buys Rs.20,000 of Stock A and sells short Rs.10,000 of Stock B using all the Proceeds to buy more or Stock A. The correlation Between the two securities is .35. What are the expected return & standard deviation of Amit’s portfolio?
Ms. Sonali Briganza is 22 years old. She is currently earning a salary of Rs.5,00,000/- per annum and saves 20% of her salary every year. If her salary increases by 10% every year and she is able to get a return of 11% p.a. compounded annually throughout her investment horizon what would be the corpus of funds available at her age 58.?
Mr. Reddy is 58 years old and has just retired from his company,and have a total retirement benefits of Rs. 29,37,500/-. His life expectancy is 75 years. He has a dream to take a world-trip after 2 years from now with an estimated current price of Rs. 4,00,000/-. He has finalized a flat of Rs. 15,00,000/- for immediate purchase. Calculate how long his corpus will run if his post retirement living expenses in the beginning of every year is Rs. 1,35,000/- considering inflation @ 4% and rate of return is 6% p.a.?
Sunil, aged 33 years, is having a policy of Rs. 1 Lac sum assured and is paying premium of Rs. 1,800/- for the last 10 years. The cash surrender value of this policy is at the end of previous year was Rs. 20,000. It is estimated that by this year end, the cash surrender value of this policy would be Rs. 22,900.
There is another term insurance of sum assured of Rs. 80,000 costs Rs. 300/- per annum which is available to him . If rate of interest is 6%, then first calculate the CPT of existing and new policy respectively and then advise Sunil if it is better to continue this policy or to discontinue it?
While granting a bank license, RBI considers all of the following, except ________."
In case of fire insurance, insurable interest should exist at the time of
In which year can the subscriber to a PPF account take the first loan from the opening of the account?
The punishment of imprisonment for dishonour of cheques could extend up to:
Your client Mr. Singhania expressed his intention to write his will in his own handwriting such a will which is wholly in the handwriting of the testator is renown as:
Which of the above mentioned could be reduced after appropriate diversification?
Bijoy traced a missing person and was awarded a sum of Rs. 35,000. Although there was no stipulation to that effect, such receipt shall be:
The June 1999 Basle Committee on Banking Supervision issued proposals for reform of its 1988 Capital Accord (the Basle II Proposals). These proposals contained mainly in:
In India, the interest rate of a floating rate security is linked to ___________.
You have Rs.500,000 available to invest. The risk-free rate as well as your borrowing rate is 8%. The return on the risky portfolio is 16%. If you wish to earn a 22% return, you should __________.
If after the partition of an HUF 2 members became partners in 3 firms on behalf of their respective HUFs and they also become partners in a fourth firm. The funds were obtained by means of loans from the other 3 firms. The share incomes of the members from the fourth firm were assessable as their individual income only.
Under the Workmen Compensation Policy, when the employment injury results in death, the insurance company pays 40 % of the monthly wages of the deceased multiplied by the relevant factor or Rs. _________ whichever is more.
An assessee was allowed deduction of unrealized rent to the extent of Rs. 40,000 in the past although the total unrealized rent was Rs. 60,000. He is able to recover from the tenant Rs.45,000 during the previous year on account of such unrealized rent. He shall be liable to tax to the extent of:
An investment required an initial cash outlay of Rs. 15,000/- and yield cash flows over the next 5 years. The cash flows generated are:
You are required to calculate the payback period:
Commutation of pension up to a limit of _______________ is tax exempt in case the gratuity is also received
Calculate age nearer birthday, last birthday and next birthday in case where date of proposal was 28-03-2007 and date of birth was 30-09-1969.
The minimum amount for secured lenders to take the benefit of SARFAESI is _______.
Any income chargeable under the based "Salaries" is exempt from tax under Section 10(6)(viii), if it is received by any non resident individual as remuneration for services rendered in connection with his employment in a foreign ship where his total stay in India does not exceed a period days in that previous year.
Total income of an individual including long-term capital gain of Rs. 50,000 is Rs. 1,10,000, the tax on total income shall be:
How much should one deposit today in a bank account paying interest compounded quarterly if you wish to have Rs. 10000 at the end of 3 months, if the bank pays 5% annually?
You are given the following set of data on security ABC:
Calculate the expected return on security ABC?
A 12 year annual annuity of Rs. 10000 will begin 8 years hence (the first payment occurs at the end of 8 years). What is the present value of this annuity if the discount rate is 14 percent?
The Motor Vehicle Insurance Policy has inbuilt cover for death/disability of driver/owner caused by accident during the use of the insured motor vehicle up to Rs. __________ in case of car/commercial vehicle and Rs. _________ in case of two wheelers.
What is the effective rate of interest for 10% compounded monthly, quarterly, semi-annually?
Calculate the premium for a policy of Rs. 10 lacs, if on an average out of 50000 persons aged 39,572 people die every year
Overseas Medical Policy (OMP) covers medical expenses and repatriation expenses upto a maximum of _________ while under Overseas Travel Insurance the same is a maximum of __________.
What is the minimum age required to avail the Benefits provided under the golden hand shake scheme?
Accrued Interest on loan for self occupied property is Rs.110000 till 31 March 2010. Loan was taken for construction on 31/07/2006 and construction completed on 03/04/10. Interest for the year 2010-11 is Rs 22000. Determine what interest shall be allowed u/s 24(b) for AY 2011-12
Suresh a 30 years old person has joined ABHG on 1/07/2006. His monthly salary (net salary) after deduction is payable Rs. 20500.His monthly expenses details are as follows:
Assume that Suresh has taken his flat on rent from 01/07/2006. On 01 /07/2006 he has cash in hand Rs. 2450. What will be his cash in hand on 31/03/2007.
Which of the following Mutual Funds was not set up within the Phase 2: 1987-1993 ?
Mr. M by a Gift deed transferred certain property to her daughter, with a direction that daughter should pay an annuity to Mr. M's brother, as had been done by Mr. M. On the same day, the daughter executed a deed in writing in favour of Mr. M's brother, agreeing to pay annuity. Afterwards, she declined to fulfil her promise saying that no consideration had moved from her uncle. Which of the following statements is correct'?
A client has a minor child she is concerned about what might happen if she was to die while the child was still young and unable to sensibly handle a sizeable in heritance one solution could be to draft her will so that the child receives the asset once reaching age 21 this is an example of
Akash has only compulsory third party policy for his car. He jumped a red light and collided with another car and then with the boundary wall of a nearby house. Damage to his car was of Rs. 17,000/-, damage to other car was of Rs. 15,000/- and damage to the boundary wall of house was of Rs. 15,000. The insurance policy of Akash will pay:
Mayank an investor buys one share of stock for Rs.500 at the beginning of the first year, and buys another share for Rs.550 at the end of the first year. The investor earns Re.10/- in dividends in the first year and Re.20/- in the second year. What is the time-weighted rate of return if the shares are sold at the end of the second year for Rs.650/- each?
The minimum service required for entitlement to payment of gratuity under the Act, in case of an employee leaving service by death or incapacitation is
Mr.Dinesh is transferred to Delhi and is paid a shifting allowance of Rs.20000 by his employers out of which he spends Rs.18000 for shifting his family and personal effects. Which of the following is true?
An employee benefit plan can generally help in accomplishing all of the following items except:
Which of the following statements in reference to REPO Rate is/are correct?
In book building method, if floor price is set at 100, what can be the maximum price of the cap?
Rakesh owes Rs. 10000 to Haresh who transfers the debt amount to Chirag. Haresh then demands the same from Rakesh, who does not have a notice of the transfer as per section 131 but still pays to Haresh. This payment is invalid &Chirag can sue Rakesh for the debt
You bought a stock for Rs. 28.29 that paid the following dividends
After the third year, you sold the stock for Rs. 35. What was the annual rate of return?
"To be sure to receive same day credit on a Saturday, NEFT instruction has to be given by _______."
An investor buys 200 units of a Mutual Fund scheme having a reinvestment option at Rs.10.5 on Jan 6, 2011. On June 30, 2011 scheme declares a dividend @10%. The ex-dividend N.A.V. was Rs.10.25. On March12, 2012 the fund N.A.V was Rs.12.25. Calculate CAGR?
The income of any university or other educational institution existing solely for educational purposes and not for the purposes of profit is exempt under clause (iiiad) of Section 10(23C) if the aggregate annual receipts’ of such university or educational institution do not exceed.
Which of the following term means joint venture in Islamic Banking terminology?
Notice of loss should be given to the insurer within ________days of the event of loss.
The trust is empty at creation during life and will transfer the property into the trust at death
If the deceased has two widows, four sons and two daughters then what is the share of each widow
In Money laundering, a transaction involving cash used to buy high value goods,property or business assets is an example of which stage?
Some institutions may be used by criminals to transfer and hide illegal wealth. The institutions are often located in countries with well-developed secrecy laws and attractive tax structures.
These institutions are called:
In the context of Organizational Models of banks in Wealth Management, a model in which Private Banking acts as a peripheral add-on to the core investment banking business is termed as:
An HUF consisted of a father, who is a widower, his three sons and a daughter. On death of the father what will the share of each of his sons?
Mr. Kashyap took a business premise on lease with the provision that he himself had to pay the insurance premium for fire and other perils on the premises and not the owner of the premises. This would be an instance of_______________ on the part of owner of the premises.
If any expenditure is incurred by an Indian company wholly and exclusively for the purpose of amalgamation or demerger, the said expenditure is
A false statement (wrong representation) which is made willfully with an intention to deceive the other party is called:
Any amount payable and the amount of refund due under the Income Tax Act,1961
shall be rounded off to the nearest multiple of.......... ?
Which of the is/are not the risk management technique in the old paradigm of Life Cycle Finance?
The presence of _____ in financial markets leads to adverse selection and moral hazard problems that interfere with the efficient functioning of financial markets.
X, a shopkeeper says to Y, who manages his business – “Sell nothing to Z unless he pays you ready money, for I have no opinion of his honesty”. Can Z claim against X for defamation?
Surender the driver causes injuries to a pedestrian by rash driving of car. The injured victim had to spend Rs.1000 in treating his injuries. Surender ‘s act has created liabilities under
As per rule 69 of doubling, what is the doubling period if rate of interest is 9%
Once the client accepts the proposal to prepare a wealth plan what is the next thing done by a wealth manager?
Loss of a closely held company cannot be carried and set off unless on the last day of the previous year in which the loss was incurred and as on the last day of the previous year in which such loss is set off, at least:
According to the capital asset pricing model, the expected rate of return on any security is equal to __________.
Under a post office recurring deposit account, loan up to ______ of the deposit may be taken after __________ year and before maturity.
Criminals use ______ to camouflage money flow from criminal activities and pass it off as regular legal money flows.
The main purpose of the guaranteed insurability rider benefit is to give the policyholder the right to
A money back policy for SA of Rs. 100000/-. Matured after 25 years. Survival benefits of 15% each has been paid at the end of 5th , 10th, 15th, and 20th years. Bonus has accrued at Rs. 965/- per Rs. 1000 SA. Interim bonus @ Rs. 25/- per thousand SA is payable. What is the maturity claim amount?
Rishi wants to purchase a car 5 years from now. His investments are presently worth Rs. 48,000/-. He puts them into an account today at a ROI of 10% per annum and he would be contributing Rs. 5,000/- from end of this month, every month for 5 years. What would be his accumulated savings in this account after end of 5 years?
A Treasury bill pays a 6% rate of return. A risk averse investor __________ invest in a risky portfolio that pays 12% with a probability of 40% or 2% with a probability of 60% because __________.
Sujoy has purchased shares of Rs.12500 of common stock in Hindustan Unilever . He has recently sold investment to the tune of Rs.15000 & received Rs 2500 as cash dividends during the holding period of 4 years. He paid a total of Rs 250 in commissions. What is CAGR on the investment?
Mr. Shivam Sharma expects to receive Rs 25000 in net receipts each year for five year and to sell the property for Rs 350,000 at the end of the five-year period, if Mr. Sharma expects a 15% return, what would be the value of the property?
Which of the following taxes are allowed as deduction while computing the business income?
An employee joined in the year 2000 in a sugar mill. After working all the years as a seasonal employee up to the year 2011. He retires with the following monthly salary Basic Salary 2000 / DA 1000/ HRA 500. How much gratuity is payable to him?
Mr.Tiwari is the sole income earner in the family. Mrs. Tiwari is a homemaker. They are aged 40 and 36 respectively. Life expectancy for both of them is another 40 years. They have no children. Other information you have is:
Current investment portfolio Rs. 20 lakh, Estimated final expenses – Rs. 1 lakh, present annual expenses- Rs 4 lakhs (including 1 lakh MrTiwari’s personal expenses), Mr. Tiwari’s post tax income in hand is Rs 3.5 lakhs. Assume a post tax; and post inflation rate, the discounting factor is 4%. Calculate the insurance requirement under the Needs Based Method.
Calculate premium payable for term insurance policy of Rs. 10 lacs, for a group of 278 people of 39 years of age. The Mortality Table shows that in this age group 2,681 people die every year in a group of 12,50,000.
As a CWM® you recommended Mr. Raj Malhotra to put his money in Asset A offering 15% annual return with a standard deviation of 10%, and balance funds in asset B offering a 9% annual return with a standard deviation of 8%. Assume the coefficient of correlation between the returns on assets A and B is 0.50. Calculate the expected return after 1 year and standard deviation of Mr. Raj Malhotra’s portfolio
Compulsory audit of account is required u/s 44AB of IT, if the total sales/ turnover exceed _______
The share of a certain stock paid a dividend of Rs.10.00 last year. The dividend is expected to grow at a constant rate of 15 percent in the future. The required rate of return on this stock is considered to be 18 percent. How much should this stock sell for now? Assuming that the expected growth rate and required rate of return remain the same, at what price should the stock sell 4 years hence?
(CII for 1992-1993=223 and CII for 2011-2012 =785)
Calculate the LTCG in both cases?
Dividend per share of Books Ltd. is 2 and required rate of return is 10%. Calculate the value of share of Books Ltd.
An investment having market value of Rs. 100 lakhs in the beginning of 2007, a Rs. 200 lakhs value at the end of 2007, and a Rs. 100 lakhs value at the at the end of 2008. Calculate the arithmetic return and time-weighted return?
Jignesh is 23 years old and plans to retire at 60. His life expectancy is 70 years. You being his CWM® estimate that his client will require Rs. 40,000/- in the first month after retirement. Inflation rate is 5% p.a. and the rate of return is 7% p.a. Currently Jignesh has investment of Rs. 50,000/- @ 7% rate of interest. What will be the extra savings per month at begin required in order to achieve this?
You buy a new computer for your business costing approximately Rs. 5,000. You expect a salvage value of Rs. 1000 selling parts when you dispose of it. Your business has upgraded its hardware every four years, so you think this is a more realistic estimate of useful life, since you are apt to dispose of the computer at that time. Calculate the amount of depreciation using straight line method?
Saptarshi acquired shares of G Ltd. on 15.12.98 for Rs. 5 lacs which were sold on 14.6.11 for Rs. 19 lacs.
Expenses on transfer of shares Rs. 40,000. He invests ` 8 lacs in the bonds of Rural Electrification. Corporation Ltd. on 16.10.2011. Compute capital gain for the assessment year 2012-13.
Lokesh purchased a flat on 1-4-1996 for Rs. 10,00,000/-. He sells the same flat on 1-10-2006 for Rs. 25,00,000/-.As a CWM® calculate the Indexed Cost of Acquisition on which capital gain would be calculated. (The CII of year 1995-96 is 281, for year 1996-97 is 305, for year 2005-06 is 497 and for year 2006-07 is 519).
If you have deposited Rs.4000 with a company and the company wishes to prepay the deposit at the contracted rate of interest after a period of 3.5 years and offers you Rs.4985, what is the effective rate of interest if it is accounted half yearly?
Vinod had taken a housing loan of Rs. 15 Lakh disbursed on 1st April 2006. They are presently paying an EMI of Rs. 17,285 at the end of every month beginning from the month of disbursement. The loan is at fixed rate of interest of 11.25% p.a. (reducing monthly balance basis) with tenure of 15 years. He wants to know what amount is eligible for deductible u/s 24 of Income Tax for housing loan repayments in computation of his Income tax liability for AY 2011-12.
Which of the following is/are the incorrect pairing in the history of exchange rate regime?
Dinesh is entitled to a basic salary of Rs. 5,000 p.m. and dearness allowance of “Rs. 1,000 per month, 40% of which forms the part of the retirement benefits. He is also entitled to HRA of Rs. 2,000 p.m. He actually pays Rs. 2,000 p.m. as rent for a house in Delhi. Compute the taxable HRA
Calculate the Paid up Value ( PV) under a policy with the following particulars
You are given the following set of data:
Historical Rate of Return
Determine the arithmetic average rates of return and standard deviation of returns of the NSE over the period given.
The risk free return of Security A is 8%. In addition to it, you expect that the return on market would be 14%. The expected return of Security A with beta of 0.70 is ________.
The beta of stock of Akhil Computers Ltd., is 1.5 and is currently in equilibrium. The required return on the stock is 19% and the expected return on the market is 15%. Suddenly due to a change in economic conditions, the expected return on the market increases to 17%. Other things remaining the same what would be new required rate of return on the stock?
Ramesh has invested Rs. 70,000, 30% of which is invested in Company A, which has an expected rate of return of 15%, and 70% of which is invested in Company B, with an expected return of 12%. What is the expected percentage rate of return?
Ms. Shweta wants to achieve the goal of higher education of her daughter after 15 years. She estimates that the funds required would be 30 lacs at then costs. She wants to invest monthly for this goal. You as a Wealth Manager suggest an asset allocation of 80% in Equity and 20% in Debt for 14 years and shifting the entire amount to liquid funds in the last year where the expected returns would be 6% p.a. If the returns in equity and debt funds are 14% and 8.50% respectively calculate the amount that needs to be invested in Equity and Debt Each Month.
If, C=Rs.240 million, I = Rs.20 million, G = Rs.90 million, X = Rs.50 million M = Rs.80 million Calculate the value of GDP?
The difference between aggregate disbursements net of debt repayments and recovery of loans and revenue receipts and non debt capital receipts is called:
Rahul and Priyanka went to a wealth manager. Both of them have just got married. Their funds are limited and their needs are many.
Some of their needs are:
Kindly suggest the order in which they should start providing for their above needs:
Vinod opened the PPF account on 19/11/2000, Calculate the amount he can avail as the first loan facility from the details below?
Case: The returns of 2 shares are as follows
Calculate the covariance of returns.
"A borrower who has been given notice of enforcement of security interest, replies with his objections.
What is expected of the secured creditor?
If a Rs. 100 par value preferred stock pays an annual dividend of Rs. 5 and comparable yields are 10 percent, the price of this preferred stock will be
"When a customer opts for a safe deposit locker, the bank becomes a _______."
A Post Office Recurring Deposit account can be prematurely closed after _______ years and ________ interest would be payable on prematurely closed account.
The relevant banking ombudsman for filing a complain regarding credit card with central processing is the one under whose jurisdiction __________.
Mukul purchased a flat on 1-4-1996 for Rs. 10,00,000/-. He sells the same flat on 1-10-2006 for Rs. 25,00,000/-. Please calculate the Indexed Cost of Acquisition on which capital gain would be calculated. (The CII of year 1995-96 is 281, for year 1996-97 is 305, for year 2005-06 is 497 and for year 2006-07 is 519).
Mr. Vivek Kalra deposits Rs.11,00,000 today in an investment that would pay after 6 years Rs. 1,00,000 per year for 5 years and Rs. 1,50,000 for the next 5 years. What would be the balance in the account after the last payment is made if the ROI is 18% per annum compounded annually.?
TESTED 12 Sep 2025
