• Profile photo of John Moffat says

      The video is working fine.
      The problem is at your end – try clearing your cache, or using a different browser.

      If that does not work then you need to contact your IT people (if you are at work) or your internet provider. It is probably the firewall settings that are causing your problem.
      What just might work is disconnecting from your network and then re-connecting.

    • Profile photo of John Moffat says

      Yes – for simulation only writing. Risk adjusted discount rate could be only writing, but it is effectively Capital Asset Pricing Model (where there certainly will be calculations) but that is covered later in the Course Notes / lectures.

  1. Profile photo of hamzaharoon says

    Seems That I am Learning F5 Again 😀 thanks Sir for a great Lecture but there is something I am a bit confused here, In your Notes The Wording for this Question are “and expects fixed overheads to increase by $140,000 per year”, May be Its silly but don’t you think that fixed overheads must increase or summed up by $140,000 Every year that is $140,000 in year 1, 280,000 in year 2 and so on……..? I just asked according to the wordings of your OT notes!

    N.B I am not a native English Speaker so please do correct me Mistakes


    • Profile photo of John Moffat says

      The OpenTuition notes are worded in the same way as the wording in the exam – he has written this several times.

      If the overheads are currently (say) 100,000 per year, and they increase by 140,000 per year, then it means that they become 240,000 per year (not that they increase every year).

      (If your salary is 10,000 per year, and I tell you I am giving you a pay increase of 1,000 per year, surely you expect to get 11,000 per year – not automatically an increase of another 1,000 every year? :-) )

      • Profile photo of Janos says

        I am not a native English speaker either but/and the wording is really confusing.

        Regarding the example you have mentioned I would understand an increase of £1000 every year. However if you say “increase the annual salary by £1000” means for me what you have meant to say.

        Am I wrong? May this be a matter of argument in an exam?

      • Profile photo of John Moffat says

        I understand the problem, but has been common wording in the exam.

        However, the examiner did realise last time he used these words that it confused many people, so I think he will make it more clear in future.

  2. Profile photo of Atif Munir says

    It is mentioned in Example 2: “and expects fixed overheads to increase by $140,000 per year”

    But in video it is 140000 each year we are deducting from contribution. Why is that? Should not we deduct 140000 year1, 280000 year 2 and so on.??

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