Type 3 Aquisition-Makonis(12/13) and Pursuit Co(6/11)Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Type 3 Aquisition-Makonis(12/13) and Pursuit Co(6/11)This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total) AuthorPosts May 27, 2016 at 12:42 am #317372 AnonymousInactiveTopics: 43Replies: 65☆☆Hi JohnWhy are the asset beta’s merged differently in these two questions. Makonis(12/13) uses equity alone to determine the weighting whereas Pursuit Co(6/11) uses the value of the whole company debt and equity to weight the asset beta’s together?Thank you May 27, 2016 at 8:06 am #317423 John MoffatKeymasterTopics: 56Replies: 53806☆☆☆☆☆You are correct that the examiner has not been consistent (and would therefore have to allow either).There is perhaps more logic in using the equity because it is equity that carries the risk.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In