Section A (1 Mark)
The most common type of interest rate swap is

Section C (4 Mark)
Navin Corporation, a manufacturer of do-it-yourself hardware and housewares, reported earnings per share of Rs2.10 in 1993, on which it paid dividends per share of Rs0.69. Earnings are expected to grow 15% a year from 1994 to 1998, during which period the dividend payout ratio is expected to remain unchanged. After
1998, the earnings growth rate is expected to drop to a stable 6%, and the payout ratio is expected to increase to 65% of earnings. The firm has a beta of 1.40 currently, and it is expected to have a beta of 1.10 after 1998.
The Risk Free rate is 6.25%.
What is the value of the stock, using the two-stage dividend discount model?

Section C (4 Mark)
As a CWM you are required to calculate the tax liability of an individual whose taxable income is:
* $ 81250 in SGD and he is a Singapore citizen
* £ 67158p.a (only employment)and he is a UK citizen

Section B (2 Mark)
Mr. Rai has received a house under a will on death of his uncle in the financial year 1985-86. His uncle purchased the house on 1-4-1968 for Rs.7 lakh. Mr. Rai has sold this during the financial year 2011-12 for Rs.62 lakh. Calculate the taxable amount of capital gain if the fair market value of house as on 1-4-1981 is Rs.20,00,000/- CII-12-13: 852,11-12: 785,10-11:711]

Section B (2 Mark)
Which of the following statements with respect to US Taxation Structure is/are correct?