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Forums › ACCA Forums › ACCA FM Financial Management Forums › Loan Note question
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
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
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