MBA

1. !51
Third Scmestcr MBA Dcgrcc Examination,
Cost Management
.115,,, r't EA
l2]IBAI')l:t24
D.c.20l,l/,Irn.2015
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ot.t 1,)n:'|etan! THREE qtestiotsJtotfl ONo. t to Oo.6,
2.Qa.nio, b.7 a auretu ,pul:ort
is Cosr Muagesenl? har,re
Renl 12,500 i In$Lmnce 1050 i Depre.1aho.
1300 , lrshirs ll50 You ar Equircd lo pEpare
l5% olvalue.fmachmery : I.rer
an overhe.d analysn sheer 1br the
o0rh*t
aDGtiD-iuhhb.teennpuencosaidoulorpocketcd( (03rhrkt
b !hxls.o$.onrrcl? whar arc ii rnerirsl
! A l&lory is haring rhrec Fodtrcrion dcps. : A, B & C od 1uo se^ ice detxn,n6 6 Bollf
house lump rcoD. nre boiler house lus to depend upon pump room for supply olNarer
mJ pumr roorn iI irs tum is depeDdenron the boilerhouseforsrpplyoldiviqrhe puNp
The expenses incurcd by rh. producrion & scn,ice depanmmls dLrinA LhD p.nod re
A 4 3,00.000 B= t 7.00.000 C=45.00.000 Boile.houre=42.1.t.000 Ptr F rooh
= t 1.00.000 The erpenses oidre boiler house and pump roolr are apponioned io rhe
Sh.* cl.2rly as 10 hor lhe expens.s olboiler|ouse md pu p roo would bc apponioncd
., .8 ,tr 1.r..r... tr "0,. eq,.iJ
r har n Vxiance Anallssr (0r hrkt
b. whir is Ovell.rdl liphin clasilcarioD oloveLheads O?ra![,
c A nanuladutus rompany pNduoes one
'y?e
olptudurl and the loLlorine inlonnarion is
.vxihhle r Bdgeled ouFul & Sxles 6000 nnns r Budgered sales I 2,40.000 :
Vad,hlcs.o! I 30 p.tr. : Budscd fixed cosl 4 40.000. You ee requned b cakulalc :
i) Budgetd tront il) BEP in renns ofuniis and siles lolune iii) hxpeoted psn'
los .r salcs rol n. ol1000 . 51100 & 7000 uni6 i!) Margin olraacry in tenns oa-'; oa
bldgcr.d oultur ) Thc o ol unils $hich nced ro be sold io em r ptufi t of { 15.000
(r0nr t
l.l1

2. i2N,IBAFNI:]24
a. Dnineuish belrvccn Diferenlial costanallsis costing and Ma€inal co$nrg.
b. whxl is Acrivir! Based Costiirs? whairre its bdnetusl (07]h n
c. The saudard co oiuchemi.almixru* ras fi)llorvs :
40% malcnils A @ t 20 per kg : 601-/0 matnal B (O { 30 per kg.
A slandad loss or l0% orinp( is cxfccled ir prcdudion Ihe con.ecords ola Denod
sho*ed the follo*ingusage l
90 l€olmare al A @ ! co$ ola 18 perlc i il0 kc olmaleia B at a con.fa l4 pcrkg.
Thequotirypmduced*as132kgolgoodprodud.Calcul e
i) l{Pv i, ,lcv iii) MUv oolrr*t
whal is Segnmtul Reponingi (0r r1s ,
Whar is Target Cosiin-q? Whal are iE neicl (0? lra*,
'1/s MsT Ltd.. hd collecEd ne 1blloLling data for its h_o adnnies. llcaLculates activity
con ats basedon condnvei.apicny.
M.S &T Forrhc rdrended I l2000.th.tuluung
QI
:,500
T
Requird : i) CalculaF co$ allocated ro e&h p$ducr from eFch acliviry.
.scJ (.or','r.d dt rIro '.1
4c'.l
a. whal h Balaiccd ScoECtud?
b. whal is BEP? What a€ ns assumprions?
c. whal is Maryinal cosin3 l Whar are its applicarionsMuci&rc.
a Cal.ulateFixed conftotuthe follo!'inedata :
20.00 000
h Gilen Sale( a I 00 000 : Fired.on a.10.000 & lo$ a 10.000 C.LlLtrLre P/V
li ht
ss.000
3.30.000
f oUo$i.g rE the basis olapponionmeiN given in r situarion :
Dnect Lrges, Dnect matnal .ort No ofehFlotees, Hore poNer, Lighi poiffs . Aser
valuc & Floor arca Choos. lllc nos cq0itable basn ol apponionmc lbr rhc tbllo ng
orerheads i) Sbresoe$eads ii) Modvepo*er iii) l-abouryellire $ Repans
&nEinienance !) Genenl orerfidads. 105Lrk,
tot3

3. The tollo$ins dala are available in a MaDulacluins Co. for a yea ypenod:
Fixed lxpenses & $ages & Sal.ry
Renl- Rales and Taxes
Semi vdable Exp. @ 50%capaciry
Mainrenance & Repair
Sales dept salary
SundryAdnn. Salary
Vanable Exp. @ 50% capacity
A$uins thar rhe fixed *penses rehah con ant lor all levels olproducrion Senri
varixble expenscs reDuin consmt between 45% & 65% ol capaciry. lncreasina by 109i,
beuccn 65% & 80% capacity and by20% bettrlen 30% & 100% crpmty.
Srles ar !,rl.ns le!.h rrP'
fEpaft ! nexible budsel lor $e year md 6re.ast psfit al 60%. 75%,90% tnd tAA%
c'pacily. (10 :r! ,

4. in
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!1
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Thi.d Semestcr MBA Degrec
Lsbour Lsw and
Ex.mination, Dec.2014/Jan.20l5
Employee Relatlons
otct t. Ans$et a,! IEREE q".stio$ lro"t Q,Nt. I to Q.No, 6.
2. Q"estion No. 7 aid A ar".oi1p Iso4.
x Wh,l n'NJanulircluringPrcccs l (0rlr!rk,
b. Explainrhc poccsolcollcdivebargaining. (071Lrl,
c. Exphinde dctritiesand ltrn ,onsofllo 0orarl,
a harn PeNonal btury'accodirg ro Employccs Conpens0rion Acr 1923? (Brhrkt
b. Bri.g oul $e povhions reixtDg to rhe Li.enrDg olcoltEcro( accoding b the conracr
hbour(RegularionandAboftion)4fi1970. (07)la*,
c. Eaphin rhc provisions ofFacrories Aci 1948 in prcreotins rhe hcalrh md saaeryol$or(e6.
(t0Irdt
a. Define GErun)' become pa)able. (03 rarrn
b Lrpliin rhc tro.edtrre lor ihe Feishation ofe$blishfrenls ac.ording ro The K.nriaka
lhops andcommercixl E(ablnhtuenhA.t 1961 107lrik,
. tnrployees lroyidenr r_und and Miscellan.ous Provisio$ Act, 1S52 is a socio ecoDomic
legnlatiotr for $e pmrcction ollhe emplores - cndcally .ommenl (,0LrLn
a. SGleanysirconrenlsoturandingorde$ (firh{,
b. l)iscus thc lmpoaanlpovisions olTirde Un,on A ,1926. (0? h,k,
. Epla,n rhe cncunNra!€es in Bhich lhe enployer is l1abl. ro Far_ .oepcnsarion lnder
Emplolee comFnsation Ac1,l92l (t0th,t9
a WhrlGfiepincipl.ofN.ruDljuiice) (0rhrk,
b. !hxlaE liecondnioDs for rhe pqmrenl ofnatefrily benefit LL.derl.{alemiry Beneln A.1,
196l ? OTtlerk,
. EnLanr re vaio0sbenelittr.il,blc 0nderESIAcl 1948 (r0yarl,
a LharlsApFftnricesh$ tain,ngl (o3llsrkt
b. Dis.0ss rhc reconmendations given b)' second Narional Co'nmission on lxbor. l07Ntrat
c Explah hdekil lhe ina.hinery lor the setleheni olDdusinal dispures. 00[Lrr,
I1r Srnpath Kumar is alleged olslealinS lhe producs li'oh rhe rork plxce.Ily.u are rhe
ffan+erwhaidkcipllnaryprocedureyoucarlodl 105 nir[,
lr}!u are manaserola maru[crunng conpant what facilities you provide for dre rvelrre
ollourNoikes? (05 L[,
A lvo n[n dunns the coure oahn trorl has ner {ii m ac.idenr resullins nr scriors
pcnnanenl injury. flis hand is c$ ll you arc ihe emploler, are you lhble ro pay rhc
compensarion? Dn.us. (0s L!Lt)
Tl,c
'nanagcr
ol a A.ro*sks a {o*er ro uolk lor 70 hous includine over lnne nr a
panicular rcck. Discu$ the Easons whelher d)e Norker is bou.d to Fork lor such long
housinarcck. (os h ,
l.l1

5. I2MBAHR]44
eallsrup! :
Bhanwari Deli ws a sodial worker (Saathin) ai ruml levcl in a development pognnne
initiatcd by State Govemment ol Rajastbm, aimins lo cu$ the evil orchild ndmages in
rillases. As a pan or her work, Bhsrvari Devi lned ro siop Rafrtann Gnrtrt inhnl
daughteis haftiage. Nevertneless, madage rookplrce bdtBhMsari Devi was not lbteilen ibr
her el6ns 10 srop maEiase. She was $bjected to social boycott d in Septenber 1992 *as
pme $ped by five men in.ludins Ramkaran 6uJar iD frcnl ofher husbmd Bhmyan and her
nusbdd f&ed hosdhyand humilialion in hospilll a.d police starion she ras Iaunted hy rhe
Nonen.onnables llouzhout rhe nisnt. The policehen asked Bhinwan ro lcavc h* lchenga
behind as eviden€e md rerum to her ! illage She was len wiih onll ber husband 6lood s t0 in ed
But Bnanw;ii wos deEmined io lishr tunher and eEr
juslice. tlcr nshdns spinr inspncd
lellossaathinsand*@ngradps.ounlryNide.OnDe.embtr1993.theHi-qhcounsaid.'i1is
rcd eolgang hevhr5 a(omr i_d 'or!ensrsnce
As a pan oflegal camrais!, rhe groups had frled a p€iiion in $e SupEhe Coun ollrdia,
under rhe nane vishakka askins rhe coun to give cenlin direcrions .esudinc thc sexual
haFsmeni ofwo*ing Notoen, The Hon ble Supcne Coun laid do*n guidelines and noms to
derer the comnission olach ofsexdil hm$nenl
a. BrinE our lhe theoretical conceots involled in the casc.
b Explainlheole orludicial6y*em in Ihe pEvenrion ofsuch cnme.
c, Whar steps do you advocstc ro prcvent such cribinal acr?

6. /,*-')
K'tr.)l_):jUS I2MBAMM3I4
Third Semester MBA Degree
Services
b. Elaboiare tlt lictoA responslble
c. Narate tne challenees inservice
Examin.tion. Dec.2014/Jan.2015
Marketins
nie. l. Ans||d an! TEREE fdl qtations iom
2. Q.No.7 an,t ONo.8 arc cohp|lso4,.
Md Mdksiloo
Q.No.l 10 ONo.6.
(05rLrk,
(05 Nlrrk)
eridedce is plrriculrlrr
the ten ofa presentalion
him of the imponance ol
(r0rr,rkt
whicl form ol inlemal narkcline.ommunnaion vcfiical or bonzontal would you inlcsi n1
ifyou had t sele ct beNeen the m as Bnorsanization sCEO1Why? O0:u3rLt
what arc rhe sreps followed todelelop custonerdelned $aDdardst (r0lr3rkn
lxplain the rolc of non-monetaiv cosls in pri.ine .l se^ices by taking rhe erample ol a
[ospiolor a rour op@ru (oi M&k)
Susgest some con$nner sales pronorion schemes whichcan be used by a busines botelto
mnagc ils denand (o5Nrr.k,
Discus lhc ltrponanceolDhysicalevidehcc lor the follo{nrE
for all iour prcvider gdps.a
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a. Wnar is serlice mixl
b. wlai &e rhechsacrefl$ics ofsericesl
c. Identil/ rhe cbauenges i.herent inbou.dary spannins.oles.
a. Explainzoncoltoleiance.
b. L6t out rie $irerla lor an eftcrlre se^iccresedchprograh.
c. 'Gr.*th in seNce N at tlre expe.se o f nranulicturin s s ecto r o f the
sith ihe starement? Dis.us
a. Explain sith exanple ihe concetr !fMyslery shoppins.
b. what aie lhe detem im nts o f customcr sattfacti o. o f servi.e?
c Select a senice organization for whi.h you believe physical
impodaDr in comuni.ating rvith a satEfying ousonEr. PEpre
.ot ..o.lJ lvc ro'. e h.,rger ot rl r o' g.'L drod .o coi. iri.e
phvsi.al edence in rhc oreBntltion nurkdnrs straiegy.
!. What aE the $ctos Deccssary forappropriarc scnicc slandedsl
b Explainiivedin6$onsof servicequality.
c. Explain the tem yield manaecmcnl. Dhcuss thc importance ol
iil Educaridnilln*ifute
Do you osrce wnh follosing $aicncnr? Jusrily your a.sNo
''A serice oreanization should teat a conFlaini a a g,ft rnd rhe

7. 12MBA]{ll314
olx lelephone company are three indn iduals livi'rg
Each olthen h,s a teleptrom €lalcd rroblem and
.A'rrdblc, -on-rdrr' Jborr 'on
e 'P.ea
'ot
br l r lcr r"il l
- rl. oi uo m "r ol.X m'iden .l n'o ,c bi' , 14 no"i He - "' '''1) ' lr o rle
Lr dnd '.rrod on vee'dsr e,') n rhe 1o-rir E. Al 'o' d l, rrl.' o si|e'oo'' r! trd
nin dav and call to UK oninost weekends. One dav A recejvcs a relelhone bill rhich is
elen hi-qher rhdn usnal On reriewing rhc bill, he is conlnrced rhal hc hasbeq or€r charyed
so It catk rtt tetepnone conpa.y s clstomer cm dcPaiincnt lo coq)lanr and request 0n
'B' has nissed sereral inpor.ant calis recentlv bccause her line was busv Hcr No
Fei,ce.h.o'er { I't" triemer ,lnor eenox' 'lc +or c
kho;ne connr b.lek lep".'oe 'ol.'on'u .n't'oo'e.. B'F"ploreb'll 'J'
he medEn le,;I6, r t..eto o .ub .,ibPr voJ or rhe rd " Eon ,er hor'c de 'o.,1. o,
rhcre are sonc calls to Delhi and Hydcrabad and occasi.nal intemaional.alh to Sineap're
"rdarn la sr ooe oor !'o.
'oe_orr)."'Ledddeo
c'ji.e'
Dunng rne pBsi selenl {eeks. 'C has been distrc$ed to recerlc a serics of obscene
telephone calls.It sounds like the sat.pesoneach time she calls the t.lcphone coFpaiv
ro see iftheycanpur astop ro rhis hd$henr Herphone billjs inthe botlornte' perccnl of
allh.Nehold subsfiber bills lnd vitually allher calh are locul
a. Bas.d on the information in
residential lelcphone baiket?
'r .d.e. or nrlj po..b'l'e ooy.
(0siu3rk,
cofrtany. ho* sould you addrcs cach
(0s r.ks)
used bylelephonc compau- lor ns basic
OoMrrh9
As acusronersenice representatire at the ielephone
olthe prcbleqand cohPlainh Eponed?
sugge$ the seFicc qualityrarametes l'hich can be

8. t2MBAUl
Third Semestcr MBA Dcgrec
Strategic
Examin.tion, De..2014/Jan.20l5
Management
.
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a
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PART A
uhal is $e imponance olslntes], in businesl (0r ur,
wrllcrn detailllrc ps.elsorsratcs,c manasemenr. (07Ntreo
whdl xre dre levck ol shtreeic DanascDenrr Eiablish rhe Elationship beNeen a
compan)'s imte$ od ils busiDcss model. (r0rrr*,
ror?.1. Answo at! IHREEfuq qnestio"sJi'od
2. Pa Rtr 4 Part C ar. .ouou4o4.
finn $itheiamplcs 103tthan
ils various pe^p ecd ve s (oiyr[,
otcompeilie analvss bd ns nnplicalions on
, LrphiD financ,rl and stmreaic objodi!{ol!
b Ephin rhe conreptolbalin.e s.o,t crd and
c Erplain Nlicheal E Poner's fire iorces.Ddel
la{ rbod ndunry
rvhal do l,ou undeEr.nd br the rem PESTanalysis"l
hr1 are KSFS? Discuss various ltpes olKSFs
whar ee thc i|dNry tlommrn economic hns &cordine lo
aD erinrplcol y indusrD oi)-ourchoice ,
a Deiinevxludchrinddbenclmarking
Lr. hxt do ],ou unde60.d bl coDrperncc. core colrpelence
Ertilain i$ hclp olexnphs
c. Explain cE-s 9 cell DllnniDs nrdel.
a whalare$eadvantigcsofaJolnlventuEl -- (0r NL,h,
b LplailltreAci...nruregiesrdotrdsrburnesleel. (07Markg
c $harfcrhev ious oprions ldr eitering and conD.ting ii toreig! ma els)Exptatn.
, ." O0!lr{,
(t0M,rr,
(0r Mrrlo
(07 Nr.rrt
Mi.heal Potell Explain $irh
(10]rrrk,
(8rLrk,
and dndncrve compernce?
(07 rrik,
(r0rIrrk,
n DeliN *rrtegi. connol. or h*t
b. According lo you as a manae.menr pr.aessional. yhar r rhe inrpofrance of erhics and
coQorale socixllesponrbilllyl, O7[r,rrt
c. rvhrl re ihe lalious challen,qes $mteg/ nnFbmenlarion t o0rr,rlo
PART.B
Thrl rb.utj"ou, !o$lr.duarJob $rrch as a $mrc!i. decision. How
.Lc.r nger. 1..1
'
'o' r'l(. Dng r. .n.
b-lhcissuoslhatnanasen.oitonih.rcondudnrgdesh.ategicmanagementpro.e$wjl
d lir acrording ro rhe c.Drt)cririre dr vnontunB rh;n fims he, the inGmatsirensrrs md
serkncsscsthcypo$essandrhenm$erolorherbusincsscsrheir6moptraie.DiscussRs)

9. l2l!tBA:l I
PART C
Dr.Sukumari.heritedhislarhersDcylabinDelhiin1995Till2002.hcorcd.1t:tbsii
lhe National Caplbl Region (NCR). Hir rmbltlon r$ Io tum n inro a arional chain. The
number increascd io 7 ii 2003 acro$ {be country, includingthe acqunnio. olthtlntrrn lah
in Mumbai T[e number is likclyrogo ro s0 *irhin 2 i ]car aom 2l al prcsenr.Intusiotr
oaRs.l3 ftoEs tura 269'0 stake by phamB capitalh$ ils grorrh srrareg.
The lab rilh a releDue ofRs 75 cmres is mong top llrce p.thologi.al labr n lndir rilh
Allantic (Rs?? cmres) and Plcinc Gs55 crcrer. Yd n! nurker share n o,lj- l9rn ol
Rs.3,500 cturei narkel The lop :l lims conmand only 6y. aj again$ 10 ,15,! b) thcr
There c a6oui 20,000 ro 1.00,000 srand alone labs cngreed nr rcuriDc tirhotoglcxt business
in Indii, r'ilh m syscm ol mandal.ry Li.d'sing lnd relisrarion Th n r'[y Dr S0kunlar
has nor gone for acquistion o.joinl vcnrures He do.snol find mor.rnrng tnborntorcs
erhgqurl .,''r.d. H' :, F,.eoee1r.c-oFonrron l- , .r.;.,
" ' , e,
,o.Diu. Lc no' io,!h ,. r.cEJjsion. 1." oll.ge o rine i-r' r o,s.
accEditalion ofDey lab trould help it b reach clienh ouGide Iidid
In Dey lab. rhe bio chemisq rd blood te(ing equipmenrs aE sdrilizcd e e!- day. Ths
br rodins aro a-orxrco ft"'.'tr, o d p.'= . d; .o, ,o. n. .,.',,. 1 i, p. ,
rculine less art .onduded rrnh hjghly sophisdcared slslem Tcchnrcd epeftie enlbles
then to carry out l650vdietyofle$s. Same day ftpons aE availxbG brsxnples rcrchin-q
bI3 pm ud by 7 am nei da) lbrsamples lion 500 collccrion cennts locarod xcni rhc
counlrr. Thcn rechnicians wo .ouM $c doclq Lnlike compernos. Ilone seniccs tor
collecdon and reportiig is also iy, able
Thee'."1..m'nrnF/.d.:p..jf oir .'^trC.ororo.le.et'n too,o. o
busines cones th@uen iF mrln laboElrorr $hich acts as a reaercnce tab ror aranv Leadjr!
hospnah NewDega labs aEbeingbulrro mcah pEclinicatanJ nrukt{enft dinical rLats
a. What do you unde*tdd by ihc i.m visionl hal f]sioD Drsukmrr has rr drc rtm. ot
inheilrnce olDey s labl Has n bcs achieedl (0ar k,
b. l_orsrosrh, shft business slmresy has boen adopred by Dr. Sukunarr (0s lr$rn
c. What is dre markeiing sdlteey olDr. Sukumarro overtake its conpetiroN) (0shrkt
d. l0 youropinion $h!r could belhe biggestNcaknes in Dr. Sukunaasbutiess $rte!],)
(05 lrl,

10. ote. 1. A ntel !n! THREE t! .!io,: lrunt Q.No.
2, Qn4lnD No. 7 and a arc cotlptlsory.
b tlhal is Bumol s Drodcll h arc ns rsrilprions?
] 2,[BAFM32 I
Third Semcstcr MBA Degree Examination! Dec.20l:l/Jan.20l5
Advanced Financial t anagemenl
a:j
4 r Marks:100
r. ll Lrd has at pFsenr nnral salcs ccl o1 10.000 unils al a :100 p u. Th. H.iabLc cost is
< 100 p u turd l ed consmounr to a:1.00.000p.a. The prcscnrcredirperiodallored b) $e
co r one nrcnfi The Conpdry is considering, peposal ro increase lhe crdil periol tu
2 nonrh indS monirs rnd hasnraderhe tullowinc cni,nres
l
Theie ill bc lncilase in lixed.oi by 4 50.000 on accomr ori'rcreae in sdles be)ond l5%
oltreseutlelel Thc.ornN.yplaDsapE lax rerum of20% on inveshrenr in receirabtcs.
You are
'eqtrned
to.alculatc thc Inon patirg credil policy br{he.orntrny (r0Nhr[n
r. 'hrt is $oi'king copml leverage?
b whxl r rhe rnnual% inrerosr cor asocialed siththe lollotrine cr.dn lems?
i r j ,'r0 {.. rrl ,rcr'a oo.,'o....lotr.e.-.'
discountburpaysdnrhelNJayollhenerp.riod Asune 160 dals in i yee. (07rrr.ro
c. E.onomic cnrc{nsc qtri,! 90000 oils olcefain iteDE annuallr Thc coe permn ls a l.
Th..onterpurchase ordcr h:100 xnd flE in€nto4 caryin! con L a 6 p.u.
wharn Coi.entrc Nlerserl Ho$ isndidLrenr liim.onglotueore tuergerl
Nhi!iMel!.iIUh fcrh!i1o!nesoltuergef
Considcr rhe tulloN,ns infom,aiior lbr Oprirm lrd.
ii) whd should rhc lim do lfrhe $'pplier. o$erdiscounl! rs
Ol a 2l0 rnillloD : Coqorare r.r l0-0/o
ivrr*cr/ Book value ofdebr a 100 million.
Clpnalisation raleapFli.rbLe t rdebtlr.e fim in ihe rhk.las ro Nhicl)
169,;. Whar qillbc rhc lxluc ol Oplnna Lrd accoding to MM approachl
Distirgoish beNcen EVA and VVA.
Nhdr n NI aDpro&hl hat aE its a$umptionsl
Hor do rou d.nnc a sick unil? Whrl are lhc trtrls olrcviing si.k unnslElrridal..
(l0lrlrrk,

11. l2lrBAFM32I
lhatisBreak even I:B1T lercl? (0rrh n
rhatisNunen.xl.rdirs.oringl$rtrxrarcrhcnetsinvolvedinitl (0r:rtrrr,
'"
lollo ! rr "onai. on ts, a'.'brc nr A 'r . -.orr.or :
EPS 4400 r Relumon ine$menl l3% : RelumrequiEdbr shaEholder li9;
what will be $e pnce per share as Der the iiltos frodel ifthe jDloul ralio ls 10on- -r09i
and 600/0? tror'r ,
b. Wbarls SlneEl'?Vharare thelypes.rSyrerg!ailnnglonM&A?
c. The foiloNing nrfonndion is glven rorvcl co :
Asset !o salesra1io0.30 i Snonlaneous li ilities lo srlcs rallo 0.50 :
Psiil nargin 5'l/o : Dividend payoui mrio 0.6 r PErions yca.s sales ll00l.*h
whaiis$enaxi un eles grosrh rxt rharcxn be rinanced ithoutBisilg extemal frnlsl']
! Cllculxle cash iumorer lor r business fim ,fon ar xremse debbN e colLelted ltfter.15
days lnrentorieshre aD aqage holdingD.nod of75 diys and crcdno$ Dovficnl ncr]od is
Abusincs im reqnircs 90000 unnsolcetrain ncrs annuauy The con olpurhase is a r00
peroder dinr€ntoq,c ryinscostisa6peruniip,!.uharisEoQ? (o5Madn
Civen [Bn l l-00.000 . De6r capitaL a 1000.000at 10%pa . Ke ls9/o Dctcminecrrr
value olthe fi m usins mdnional valLration appoach.
d folloNnrsarethedara ail$Le lora conrDan-vxYZ Lrd
i2t'o Pftlshtud cdpral a 1.00.000 : Eqri shaF capiral 1.1.00.000 (F V i 100) : thare
prnium a40.000 i Retaired eamings t i,00.000 r Eamings araiLable lo equirr holdcr:
i) ,hal istlrcnraximunr DPSthc lim can pay?
ii) Illhe nnn has only I 60.000 in cash. rvhat is $e nmxlnrufi DPs n.in pxY?
PrdFare a c6h budgcr lor rh. morth ol l'lal , lunc & July 1004 on dre brsir ol dr.
:t.000
1.000 1,000
5 000
a Cahbalrnceor lr5il004a R 000
b Plant.osting i 16.000 k due lir delivcry in July. Fa)able L0% on dellr.q aDd rhe t,xl.ncc
c Advanced lax of4 8.000 each ispclable
d. Penodofcrc'in bucdbysupplicrs 2
e. PfiodolcEdlrallo$edroctrdotoc^ 1
l Lxg in pr) frent o f i{ 1!. Exp - /: nonth
s Las in prFeni.foffice &selli',gExp I