Loan Note question

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This topic contains 2 replies, has 2 voices, and was last updated by Profile photo of nazeehar nazeehar 4 years, 4 months ago.

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    jrow
    Participant

    hi there,

    I’m not sure when I should use an IRR calculation or just a normal discount calc (i.e. using just one discount factor) for loan notes. Also, not sure when I should use the whole value of all of the loan notes or just one?
    Can anybody help please? thanks


    Profile photo of nazeehar
    nazeehar
    Participant

    hey,IRR using two assumed discount factor is used while calculating Kd for reedeemable bonds only and single value discount factor is used while calculating the market value of shares.
    i dont udrestand ur 2nd prblm.
    hope i answerd ur frst one


    Profile photo of nazeehar
    nazeehar
    Participant

    hey,IRR using two assumed discount factor is used while calculating Kd for reedeemable bonds only and single value discount factor is used while calculating the market value of shares.
    i dont udrestand ur 2nd prblm.
    hope i answerd ur frst one

Viewing 3 posts - 1 through 3 (of 3 total)

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