i need MBA finance assignment solutions to correct my concepts.
1.FIN621 Assignment # 01 Total marks: 15
Learning objectives:
After solving this assignment, students will be able to:
Understand the nature of adjusting entries
Prepare the adjusting entries
Learning Outcome:
After going through this assignment, the learner would be able to
Prepare adjusting entries after incorporating the necessary adjustments

Assignment Question:
XYZ is a fashion boutique. It targets teenagers and youngsters. The following information is
related to the adjusting entries of the company as on March 31, 2012. The company records all
adjusting entries at the end of the each year.fiscal year of the company ends on 31March2012.
The company has its own textile unit for the manufacturing of the cloth. The depreciation
expense for the plant and machinery was recorded as Rs. 61,700 for year 2012.
The company has taken loan from Babib Bank Limited. The amount of accrued interest is Rs.
10,839 for the fiscal year 2012.
XYZ outsource some embroidery material and work. The outsourcing is done on credit, and
billed monthly. The mount of unbilled services was Rs. 27,400 for the year 2012.
The company has taken a general business liability insurance policy from AdamJee Insurance
Limited. The annual prepaid premium is Rs. 12,000. XYZ purchased this policy on October 1,
2011. The company also maintains a 6 month property & casualty policy, which was taken on
December 1, 2011 for a total cost of Rs. 6,000. Both policies were recorded as prepaidinsurance.
XYZ took a complete physical count of shop supplies at March 31, 2011. The supplies on hand
amount to be Rs. 18,952. Management argued that this was greater than the requirements of the
company and it also increases the hoarding cost of the company so, it was decided to reduce this
level in the next year. In the year 2012, the company purchased supplies of Rs. 62,500 and
debited to the Supplies account. In March 31, 2012, the company significantly reduces its
inventory levels and as a result the ending inventory was Rs. 6,800.
During the fiscal year, XYZ signed a contract with Hospitality Inn Hotel to provide them
customized products for their Hotel. The manufacturing was started in the year 2005. XYZ
recorded the proceeds from the Hospitality Inn Hotel as Unearned Revenue account. The contact
has a flat fee of Rs. 189, and 678 products were sold to the Hotel. At March 31, 2012, 25% work
of the contract was completed.
XYZ use billboards for the advertisement of their products. ABC advertising company sold a
plan for multiple locations in the city. XYZ agreed to prepay the full amount of advertisement.
The amount of advertisement was Rs. 13,000. Due to full payment ABC promised to allow the
company to use the billboards for 13 months. XYZ Company paid the amount on June1, 2011,
and recorded the amount as prepaid in its Balance Sheet. Due to some reasons the advertisement
campaign was not started until July 1, 2011. The campaign will accomplish on July 31, 2012.
XYZ Company has taken shops on lease. Rent is paid on monthly basis and is payable on the
first of each month. XYZ paid rent for the month of March on 1st March, and it will pay rent of
Aril on 1st April.
You are required to prepare adjusting entries for XYZ Company, as of March 31, 2012.
Make sure to upload the solution file before the due date on VULMS.
Any submission made via email after the due date will not be accepted.
FORMATTING GUIDELINES:timesnewroman,arial.12”msformat.openOff ice Format
.................................................. .............................................



2.
Semester Spring 2013
Corporate Finance (FIN622)
Assignment No. 01
Due Date: 02-05-2013 Marks: 20
Bond Valuation
Learning objectives:
Understanding bond valuation techniques and important components of term structure of interest rate.
Learning outcomes:
After attempting this assignment, students will be able to understand:
Importance of bond valuation in determining current price of bonds
How interest rate changes affect bond prices (bond price volatility) and components of term structure of interest rate
How to calculate Yield to maturity

Case
A&N Corporation is currently deciding to expand its operations as forecasted sales figure for next year is showing a significant increase as compare to last year. Company has to import new plant to meet its production demand that requires finances, although company is generating profits from last many years but still external finance is needed for the import of plant. There are two options available for company to generate finances through external source (either through issuance of shares or through bond issuance). Keeping in mind advantage of debt financing (tax shield affect) management has decided to issue bonds of two different maturities; information about two bonds is given below:
Bond A: 5-year bond with par value of Rs. 1,000 and 16% annual coupon payments.
Bond B: 12-years bond with par value of Rs. 1,000 and 16% annual coupon payments.
Moreover required rate of return for such types of investment is 18 %
One of your friends (Mr. A) is thinking to invest in the bonds of A & N Corporations and wants to know the current price of bond and the impact of interest rate volatility on the price of bonds. Being a student of Corporate Finance you have to help your friend in extracting following required information.
1. Calculate current market price of both bonds. (6 marks)
2. If required rate of return increases by 2%, which component of term structure of interest rate will be affected by increase in required rate of return and how? Discuss with respect to both bonds. (4 marks)
3. Suppose your friend has invested in bond A. A month after purchase, country’s political situation has become uncertain that has affected the financial markets as well as investor’s return. Your friend is worried that how this adverse economic situation will affect his yield to maturity. Mr. A has asked you to help him out in calculating the yield to maturity; if current market price of Bond A is Rs. 850?

(10 marks)
Font12.grace one day
.................................................. ................













Sponsored Links

3.Assignment: FIN 630
Xyz company has been growing at an outstanding rate of 30% per annum because of its rapid expansion and sales. it is believed this growth rate will last for 3 more years and then this will drop to 20% per year for next two years. as the time will pass, the growth rate will further drop to 7% per year indefinitely.
a. If the growth rate then remains at 7 percent what is the value of the stock? The company has just paid cash dividend of rs 3 per share and investors require a 16 % return from this investment.(15 marks
b. Suppose Mr. A is holding 500 shares of the company. You are required to identify the trends of the market and advice which is feasible for him either buying or selling at the points highlighted in the chart given below. your advice should be based on fundamental analysis (performed in part “a” of the assignment above.)and must be supported by logical reason.(5 marks)

(stock Price )
80................................................ ...........b
70................................................ .........
60............................a
.
0................................................. .............
(Time..>) ^april 25 ^april 29

Format: Font style” Times New Roman or Arial and size 12”