ACCA F9 June 2010 Question 1 ZSE

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  • Avatar of Miss A..
    Miss A..
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    please i am unable to understand this ZSE’s a) iv) …….help me out


    Avatar of johnmoffat
    John Moffat
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    Because you ask about a) iv), I assume that you are happy with the previous parts and that therefore you are clear where the possible final balances and the probabilities come from.

    In which case, since the overdraft limit is 2,000,000 (from the question) you just need to add up the probabilities of those balances that are more than 2,000,000 overdrawn.


    Avatar of Miss A..
    Miss A..
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    ok….now i got what u mean…in part a)ii) we had 3 negative balances…..
    (1500,000)
    (5500,000)
    (11500,000)

    (5500,000) & (11500,000) exceeded the overdraft limit (2000,000) .
    so we added their probabilities….


    Avatar of johnmoffat
    John Moffat
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    That’s right :-)

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