(Note: This is only a suggested answer – the official examiner鈥檚 answer will appear on the ACCA website in a few weeks time. If you spot any arithmetical mistakes then please do let me know in the Ask the Tutor Forum 馃檪
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j1994 says
hi the answers has been released on the acca website. i’ve compared the answers it seems that the npv and pv for year four is wrong ,please can u help me with this as i am struggling.
for year 4 after tax benefit is 2347
John Moffat says
I don’t know why you are bothering looking at different answers (the link to my answer was removed as soon as the examiners answers appeared) 馃檪
The reason for the difference is due to the treatment of the capital allowances in the final year. In my answer I continued to charge writing down allowance, but in the examiners answer there is a balancing allowance which is more correct.
This is all explained in my free lectures on investment appraisal with tax.
santhosh15 says
Please share anyone F7 March 2017 , Question paper with answers
John Moffat says
You can find what questions and answers are available on the ACCA website.
They are copyright of the ACCA – sharing copyright material is illegal and is not allowed on this website.