Define Accounting and Its Role in Business

question 30

Essay

Define accounting and its role in business.

Understand the treatment of intra-group rentals in consolidated financial statements, including the impact on tax expenses and deferred tax liabilities or assets.

Understand the Capital Asset Pricing Model (CAPM) and its assumptions.

Calculate appropriate hurdle rates using CAPM for capital budgeting decisions.

Understand the concept of beta and its relevance in measuring stock risk.