Pass the AIWMI CCRA CCRA-L2 Questions and answers with CertsForce

Viewing page 3 out of 3 pages
Viewing questions 21-30 out of questions
Questions # 21:

Following is information related banks:

Auckland Ltd is a public sector bank operating with about 120 branches across India. The bank has been in business since 1971 and has about 40% branches in rural areas and about 75% of all branches are in

Western India. On the basis of the size, Auckland Ltd will be ranked at number 31 amongst 40 banks in India.

Although top management has appointment period of 5 years, generally they retire on ach sieving age of 60 years with an average tenure of only 2 years at the top job.

Profit and Loss Account

Question # 21

Balance Sheet

Question # 21

The rating wise break-up of assets for FY11 is as follows:

Question # 21

Computer risk weighted assets for Auckland Ltd for FY11:

Options:

A.

10,10,000 Million


B.

13,24,500 Million


C.

11,64,500 Million


D.

11,60,000 Million


Expert Solution
Questions # 22:

Loss assets should be written off. If loss assets are permitted to remain in the books for any reason,

______percent of the outstanding should be provided for.

Options:

A.

150


B.

75


C.

100


D.

50


Expert Solution
Questions # 23:

Based on the common size statement analysis which of the following statement regarding employee cost is correct?

Question # 23

Options:

A.

The employee cost is expected to contribute 8% to decrease in PAT in FY15


B.

The employee cost is expected to contribute 7% to decrease in PAT in FY15


C.

The employee cost is expected to contribute 6% to decrease in PAT in FY15


D.

The employee cost is expected to contribute 5% to decrease in PAT in FY15


Expert Solution
Questions # 24:

Mr. Gopi, while teaching the CCRA course to students described Altman’s Model and stated that following variables do exist for Altman’s Model:

1. total debt/total assets,

2. retained earnings/total assets.

3. earnings before interest and taxes/total assets,

4. market value equity/book value of total liabilities,

5. sales/total assets

Exactly how many variables are incorrectly identified?

Options:

A.

Exactly Four


B.

Exactly One


C.

Exactly Two


D.

Exactly Three


Expert Solution
Questions # 25:

Scott is a credit analyst with one of the credit rating agencies in India. He was looking in Oil and Gas Industry companies and has presented brief financials for following 4 entities:

Question # 25

Giving equal weightage to all three ratios, determine which of the above entities should be rated highest on a relative scale.

Options:

A.

C Ltd


B.

A Ltd


C.

D Ltd


D.

B Ltd


Expert Solution
Viewing page 3 out of 3 pages
Viewing questions 21-30 out of questions