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Marengo 12/10

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Marengo 12/10

  • This topic has 3 replies, 2 voices, and was last updated 10 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
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    Posts
  • November 7, 2014 at 9:05 pm #208319
    student07
    Member
    • Topics: 193
    • Replies: 162
    • ☆☆☆

    Sir could you pls look at part a.
    d1= -0.0552
    N(-d1)= 0.5+[0.0199+(0.0239-0.0199)/2]=0.5219

    Dont you think if d1 was negative it should have been subtracted from 0.5 and other thing Is fimding value i know the .05 is 0.0199 and because the value of next five is not given so we take next no and subtract the first no and divide by two as this is almost in the middle ,am i right.
    What happens if it is .0572 do we still do same and divide by 2 aswell.
    Thanks

    November 8, 2014 at 11:36 am #208378
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54721
    • ☆☆☆☆☆

    d1 is negative, but the formula given in this question is N(-d1) and two minuses make a plus. So – – 0.0552 = + 0.0552

    Yes – the examiner approximated between 0.05 and 0.06, but you do not need to do this in the exam.

    November 8, 2014 at 12:45 pm #208399
    student07
    Member
    • Topics: 193
    • Replies: 162
    • ☆☆☆

    Thank you so much sir.

    November 8, 2014 at 6:12 pm #208459
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54721
    • ☆☆☆☆☆

    You are welcome 🙂

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