ExamVeda
Login
Home

An uncovered cost at start of year is Rs 300 full...

This question belongs to Commerce Financial Management
Financial Management
?

An uncovered cost at start of year is Rs 300, full cash flow during recovery year is Rs 650 and prior years to full recovery is 4 then payback would be

Answer & Solution
Correct Answer: Option D
Upto 4 years full cost recovered, only left portion is Rs 300
Cash flow during current year = Rs 650
So 300 recovered with in period of 300/650 = 0.4615
Than payback would be = 4 + 0.4615
= 4.46 years
Examveda
Question posted by Examveda
Community

Join the Discussion

1 Comment
MOHINDER SINGH
MOHINDER SINGH 8 years ago
Sir I am not understand
Keep Learning

Related Questions on Financial Management

Investment is the _______________.
A. net additions made to the nation’s capital stocks B. person’s commitment to buy a flat or house C. employment of funds on assets to earn returns D. employment of funds on goods and services that are used in production process
Financial Management is mainly concerned with ______________.
A. All aspects of acquiring and utilizing financial resources for firms activities B. Arrangement of funds C. Efficient Management of every business D. Profit maximization
The primary goal of the financial management is ____________.
A. to maximize the return B. to minimize the risk C. to maximize the wealth of owners D. to maximize profit
In his traditional role the finance manager is responsible for ___________.
A. proper utilisation of funds B. arrangement of financial resources C. acquiring capital assets of the organization D. efficient management of capital
More Related Questions on Financial Management