What is the meaning of Unearned Finance Income ....How can i interprete It...
As per As-19
U.F.I= Gross investments-Pv of MLP+Pv of UGRV(Unguaranted Residual value)
Where,
Gross Investment means
= Pv of M.L.P + Pv of GURV at lessor stand point of view.
My query is what is exactly ..As wants to say about Unearned Finance Income.....
TYUSM.
for Reply............
I think there is sum of PV of UGRV
bcs
G.I= Pv of MLP + Pv of UGRV---------------I
UFI= G.I- (Pv of MLP + Pv of UGRV)..................it can be written as
G.I= UFI + (Pv of MLP + Pv of UGRV)------------II
from I & II
0=UFI-Pv of UGRV-Pv of UGRV get common factor( - )
0 = UFI-(Pv of UGRV+Pv of UGRV)
hence UFI = 2Pv of UGRV
CAclubindia
