Investment Valuation in India

Transfer of Articles - IMPORTANT ANNOUNCEMENT The following decisions taken by the Council of the Institute are brought into force immediately for compliance by the Students / Members concerned. It is advised that required compliance be made by the concerned students / members. It may please be noted that non-compliance will be viewed seriously and proceeded against accordingly. The coaching classes shall not continue after 9.30 a. m. or start before 5.30 p.m. so as to enable the articled/audit assistants to concentrate wholly on practical training. Members of the Institute who are engaged in coaching be advised not to undertake coaching between 9.30 a.m. to 5.30 p.m. An articled assistant should undergo practical training in accordance with the guidelines of the Institute between 10:30 a.m. and 5:30 p.m. During the period an articled assistant shall not be permitted to attend colleges/other institutions for graduation or any other course. Every articled/audit assistant shall submit on...

How-are IT returns selected for Scrutiny Procedure for selection of cases for 'Scrutiny' for non-corporate assessees In super cession of earlier instructions on the above subject the Board hereby lays down the following procedure for selection of returns / cases of *Non-Corporate Assessees* for scrutiny during the financial year i.e. 2007-08 . 2. The following categories of cases shall be compulsorily scrutinized; - i) All assessment pertaining to search and seizure cases. ii) All assessment pertaining to surveys conducted u/s 133A of the Income tax Act. iii) [1]All returns where deduction claimed under Chapter VIA of the Income tax Act is Rs.25 lakhs or above in stations other than the cities on computer network. iv) All returns, including those of non-residents, where refund claimed is Rs.5 lakhs or above in stations other than the cities on computer network. v) (a) All cases in which the CIT (Appeals) or ITAT has confirmed an addition / disallowance of Rs.5 lakhs or above o...

The world's largest democracy in the world's biggest elections has given its mandate that it is the Congress which will be forming the next government in India. SINGH IS KING The Congress has led the UPA to win the 15th Lok Sabha elections yet again and Prime Minister Manmohan Singh has become the second prime minister after Jawaharlal Nehru to win the elections second time in a row. The results of the elections have been a pleasant surprise for the Congress and the UPA as hardly anyone would have expected the results to be so decisive with the BJP considered to a strong contenders this time. I need not highlight my personal views which are to the contrary and results have been as expected for me. The stability and strength of Sonia, political decency and image of Manmohan Singh and the youth appeal of Rahul has managed the Congress to bag more seats than expected. The just in time pre-poll strategy of Rahul Gandhi to field all political parties possible and an attempt t...

4 things to look for in an investment New investors are often interested in purchasing a company's stock but are not sure where to begin. These four characteristics should serve as helpful guidelines in your search for a good investment. 1. What is the price of the entire company? When doing research, it is important that you look at more than just the current share price - you need to look at the price of the entire company. The "cost" of acquiring the entire corporation is called market capitalization (or market cap for short) and is frequently referred to by financial professionals. In short, the market cap is the price of all outstanding shares of common stock multiplied by the quoted price per share at any given moment in time. A business with one million shares outstanding and a stock price of $50 per share would have a market cap of $50 million. This market capitalization test can help keep you from overpaying for a stock. Consider the case of eBay and General Mo...

Seven Questions to ask before Investing When putting together a portfolio of companies, there are seven basic questions that every investor should ask. The answers can help uncover competitive strengths and weaknesses, providing a better understanding of the economics and market position of the business. 1. What are the sources of the company’s cash flows? John Burr Williams taught us that the value of any asset is the net present value of its discounted cash flows. Before the investor can even begin to value a business, he has to know what is generating the cash. It is important to be specific and avoid making assumptions. Take Coca-Cola, for example. Billions of people across the world are familiar with Coke’s products. When you see it on the shelf of your local grocery store, you may have concluded that it was the Coca-Cola Company that sold the bottled goods to the grocer. In reality, a look at the most recent 10K reveals that, although the company does sell some finished bevera...