FIN621 - Financial Statement Analysis  Finalterm Subjective Paper

• A company wants to take a loan , this is the where you already feel difficulty in recovery of cash … company also says the change in policy to pay back loan from 190 days to 90 days, would you prefer to give a loan to such company If yes/no give your reason . 3 marks
• A company takes a loan of 100,000 rupees to use in the working capital, what would be the effect of this loan on working capital , whether the company will be able to pay back it . give your logic3marks 
• I purchased some stock at 50,000 and sold it in some later time at 100,000 rupees, so in this way I have earned 10% on a single entity of stock .criticize this statement  3 marks
• Values were given we had to find liquidity ratios  5 marks