Free CWM_LEVEL_1 Exam Braindumps
Chartered Wealth Manager Level 1 Questions 46–50 (page: 11)

Alok a 28 years old person has joined BIFM on 1/07/2006. His monthly salary (net salary) after deduction is payable Rs. 22,500 His monthly expenses details are as follows:


Assume Alok takes a flat on rent from 01/07/2006. On 01/07/2006 he has cash in hand Rs. 1450/-. He starts paying the insurance premium from October at Rs. 2500/- pm. His investments in Mutual fund SIP are Rs. 3000/- pm for a 6-month period. What will be his cash in hand on 31/03/2007?

Mr. Bose runs his Handicrafts business. His current age is 48 and wants to retire at the age of 58. His life expectancy is 75 years after retirement. His net proceeds after deducting both the business expenses and living expenses are Rs. 6,00,000 p.a., which will increase at the rate of 5%. He is a bachelor and don't intend to start any family in future either. Since he doesn't have any family obligations, he wants to sell off his business after ten years and buy a home in foothills of Himachal.

He expects to sell the business for a good amount and put 40% of the proceeds in buying the house and setting up a retirement corpus with the rest of amount to pay off his post-retirement expenses. He is philanthropic by nature and thus want to save the net revenues from his business to form a charitable hospital for poor people living in Himachal His current living expenses are Rs. 4,00,000 p.a. which will increase in line with inflation. The inflation rate is 3% and interest rate prevailing is 6%
As a CWM, you are required to calculate:

The current dividend on an equity share of MAGADH Limited is Rs. 8.00 on earnings per share of Rs. 30.00. Assume that the growth rate of 15 per cent will decline linearly over a five year period and then stabilize at 10 per cent. What is the intrinsic value of MAGADH 's share if the investors' required rate of return is 15 per cent?

Given the following diversified mutual fund performance data, which fund has the best risk adjusted performance if the risk free rate of return is 5.7%.


Best according to sharpe ratio and Best according to treynor ratio.

Kapil is employed by SIDBI. He receives the following emoluments/facilities during 2014-15: Basic Salary Rs. 40,000 p.m DA (forming part of salary) Rs.10,000; Sale of computer to him by employer sale price Rs.20,000 (Cost of computer Rs. 2,00,000 used by employee for 3 years and 9 months) Rent free accommodation, the F.R.V. of which is Rs. 24,000 p. a. His taxable income for the assessment year 2015-16 shall be: