CS Professional Valuations & Business Modelling PYQ December 2021: Question Paper and Available Answers
CS Professional
7 - Valuations & Business Modelling
PYQS Series
December 2021
33 Questions Indexed
ICSI Examination Archive & Suggested Answers: This directory contains indexed questions from the paper for CS Professional 7 - Valuations & Business Modelling PYQS (December 2021). Open the source paper and available answers. Older sessions follow the syllabus and statutory provisions applicable to their examination year.
Indexed questions
- A Limited and B Limited are in negotiations in which A Limited has expressed the desire to acquire B Limited and it is decided that A Limited will acquire B Limited. For this purpo
- Find out: Book Value per share of A Limited after acquisition (considering Capital Reserve on Takeover and without considering Capital Reserve on Takeover).
- Find out: Earnings per share of A Limited after acquisition.
- Find out: Market price of A Limited's share after acquisition.
- Find out the new Exchange (Swap) Ratio assuming that 100% weightage is applied on Book Value, Market Value, EPS and Net Profit Ratio. Give your reasoning for changes in Exchange Ra
- Find out the new Exchange (Swap) Ratio if Promoters holdings in A Limited is 50% and B Limited is 75% instead of 40% and 30% respectively as given above and also give your reasonin
- Across the world there is a fear/resistance for takeovers briefly discuss on pre-takeover and post-takeover defence strategies.
- PQ Machines Ltd. has a machine having an additional life of 5 years, which costs ₹2,00,00,000 and which has present book value of ₹50,00,000, which will run for another 5 years wit
- State whether the following statements are true or false with reasons: Divestitures represent the sale of a part of a total undertaking.
- State whether the following statements are true or false with reasons: In a reverse merger a smaller company acquires a larger company.
- State whether the following statements are true or false with reasons: Stock Dividends and Stock Splits may increase the stock price but not the value of the business.
- State whether the following statements are true or false with reasons: Under discounted cash flow model of asset valuation, estimated cash flows during life of the asset are not re
- State whether the following statements are true or false with reasons: Buying the units of mutual funds is an indirect investment.
- A project costs ₹600 Crore, has a life time of 10 years, and SV = ₹100 Crore at the end of 10 years. The company uses straight-line depreciation and the corporate tax rate is 25%.
- Zigzag Ltd. belongs to a risk-class for which the appropriate PE ratio is 15. It currently has 75,000 outstanding shares selling at ₹150 each. The company is contemplating declarat
- Zigzag Ltd. belongs to a risk-class for which the appropriate PE ratio is 15. It currently has 75,000 outstanding shares selling at ₹150 each. The company is contemplating declarat
- Assuming that the company pays dividend, has net income of ₹7,50,000 and makes new investments of ₹15,00,000 during the period, how many new shares must be issued?
- This Standard will bring much needed uniformity in valuation and accounting of share-based benefits—Name the Standard. Discuss its objective, scope and recognition.
- The following financial share data pertaining to XYZ Tech Ltd. an IT company are made available to you: Years ended March, 31st 2018 2017 2016 EBIT 696.03 325.65 155.86 Non-branded
- State whether the following statements are true or false with reasons: Price ratios are not a parameter to get an idea of whether a stock (share) price is reasonable or not.
- State whether the following statements are true or false with reasons: Return on Assets (RoA) is not an indicator that how good a Company is using its assets to make money.
- State whether the following statements are true or false with reasons: The current ratio measures a Company's ability to pay its long-term liabilities with its short-term assets.
- State whether the following statements are true or false with reasons: The more the interest coverage ratio riskier it is.
- State whether the following statements are true or false with reasons: Each Company sets its own dividend policy according to what it thinks is in the best interest of its sharehol
- Divya, an Information Technology graduate has developed a Mobile application to connect professionals of a same profession across country. She would like to attract more users for
- The following figures apply to a small manufacturing company. Particulars Amount (₹) Annual sales for the previous year 46,00,000 Profit after tax for the previous year 2,70,960 Bu
- State whether the following statements are true or false with brief reasons: Cash flows cannot be managed by improving receivables.
- State whether the following statements are true or false with brief reasons: Top-line sales growth can conceal a lot of problems.
- State whether the following statements are true or false with brief reasons: Don't always focus on the lowest price when choosing suppliers.
- State whether the following statements are true or false with brief reasons: Subtracting total cash required from opening cash balance yields the cash position before borrowings an
- State whether the following statements are true or false with brief reasons: Cash flow Management means delaying outlays of cash as long as possible and encouraging anyone who owes
- 'Forecasting revenue is one of the biggest challenges for the business Modeller'. Comment and discuss on various approaches to Revenue Forecasting.
- AKQJ Ltd. sells goods on a gross profit of 25%. Depreciation is considered as a part of cost of production. The following are the annual figures given to you: Sales (Debtors: 2 Mon
How to Prepare for CS Professional 7 - Valuations & Business Modelling
Use past questions to practise the paper format and review available answers. Check the current syllabus, applicable law and examination duration before attempting a timed paper.