[10simran]

That is a really helpful tip, thank you so much sir

[10simran]

Yes sir, I watched the lecture again, I understood now.

Sir I have another doubt regarding issue cost. I am not able to understand when issue cost is to be included and not, in the funds raised for tax shield calculations in APV.

Can you please explain that to me sir?

[10simran]

Sir, in this question, I am not able to figure out why they have taken the asset beta of the proxy company to compute Ke from CAPM model.

Isn’t equity beta used in the CAPM model

[10simran]

In this question, I have 2 doubts:
1. Why is depreciation not added back in the appendix 1 calculation of free cash flows?
2. Why is spot bid rate used when calculating the lock in rate for currency futures, I though spot ask rate was to be considered?

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