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Hi guys,
Hope everyone is ok and getting prepared for june exams. I havent done much revision as i thought i do, but still got 2 weeks for F9 and 3 weeks for F7 so gonna hopefully be more disciplined.
My question is on NPV questions for F9, when we inflating the selling price or variable costs or even when we are doing Tax allowances or working capital, do we have to show the working for all the years? lets say the investment is for 4 years? this is very time consuming.
On December exam i spent nearly 1hour 15 mins on the NPV question.Thanks everyone, also if anyone has tips for the june paper, i would appreciate it.
Good luck.
Yes, you have to do the calculations, they all carry marks. Inflating each year can carry separate marks say 0.5mark for each. Check out the marking schemes of past papers.
Although there will be marks for each set of figures, you do not need to waste time showing the workings for every year (when it is repeating as with inflation).
Always show workings for 1 year so that the marker can see you know what you are doing, even if you have made a silly mistake. Don’t waste time showing workings for every single figure though.
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