Forums › ACCA Forums › ACCA APM Advanced Performance Management Forums › June 2012 Q1 Part B
- This topic has 5 replies, 3 voices, and was last updated 10 years ago by paul12345.
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- May 29, 2014 at 4:06 pm #171677
Could some1 please help me with this?
Im trying to figure out where they get the answer for the following:
PV 2010 = 179,516
2011 = 292169
2012 = 303626
I know its probably simple but I cant figure it out & its driving me mad!
Thanks
June 2, 2014 at 12:05 pm #172597AnonymousInactive- Topics: 0
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Paul,
I’m struggling with the same point, can someone please help?
June 2, 2014 at 1:35 pm #172635AnonymousInactive- Topics: 0
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Cash Flow
Year 2010 = 141,840 * 1.125^2
Year 2011 = 259,705 * 1.125
Year 2012 = 303,626 * 112.5% is cost of capital.
The reason for doing this is he wants to see business performance to date i.e 2012.
June 2, 2014 at 2:03 pm #172642AnonymousInactive- Topics: 0
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Many thanks Melnic. So in fact we’re compounding rather than discounting as we’re looking from a point in the future?
I think my problem was I didn’t consider the free cashflow needs derived in advance.
Melnic, any chance you know why interest was not deducted to arrive at free cashflow?
June 2, 2014 at 2:24 pm #172651AnonymousInactive- Topics: 0
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interest is not operating cash flow. it is cash from investment activities.
June 2, 2014 at 10:41 pm #173032Thanks melnic
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