Agricultural finance and credit management UE Past Papers Questions.

SAGCOT-Diary Ltd, an upcoming company in Southern Tanzania has bought a butter processing plant from India. It intends to include it in it books of accounts immediately and plans to set aside a certain amount of reserves each year so as to be able to replace it after the 10 years, which is the manufactures` stated useful life. The finance director has requested you to present him with a schedule of annual depreciation values for him to include in a five year plan and budget. Calculate the annual depreciation knowing that such fixed assets normally loose value faster at the beginning than during subsequent years. The value of the asset after 10 years is a merge 10 per cent of the original value. The industry standard is that such an item has a 15% depreciation rate. The procurement invoice indicates that the machine was bought for the company at a price of Tsh 80 million. (show your formulas, work and answer)

Answer / Solution

UNSOLVED

Which of the following is likely to employ a financial analyst to help in making decisions about individuals firms

1. Mutual funds
2. Brokerage Firms
3. Banks
4. All the above

Answer / Solution

UNSOLVED

The primary thrust of financial analysis is the

1. Past
2. Present
3. After life
4. Future

Answer / Solution

UNSOLVED

Aspects of the firm  important to the financial analyst`s ratio analysis are

1. Competition , management style, and product technology
2. The past, present and the future
3. Working capital, income , and debt
4. Liquidity, Profitability, liquidity.

Answer / Solution

UNSOLVED

Which of the following ratios includes a component that is not  in the balance sheet?

1. Acid-test
2. Debt ratio
3. Current ratio
4. Accounts receivable turnover

Answer / Solution

UNSOLVED