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Hello I am writing on pfizer co.
I want to know when i calculate net profit margin ,do I need to take net profit attributable to pfizer or total net profit?
Thank youHello,
I am ACCA affilaite I am currently hired as a teacher in Pakistan international school jeddah.They are demanding that my ACCA certificate should be attested by HEC in pakistan.
So can anyone tell me that HEC will attest my certificate?isn’t the last amount reflecting the last 15 yeear pv 5.099m which is not taken into account for sensitivity analysis
Sir examiner did the same in june 2014 Q1 sitting where he calculated the predicted future rate for four months and he ended just to the number of contracts and did not write the outcome .can we follow this approach
Sir in tisa co annual standard deviation is 800,000 and this is with which they have have multiplied it whereas annual cash flow is 2200,000 .
whereas in katamai volatility is 150 basis point and cash flow is $150m.
is it because in katamai standard deviation is given in terms of basis points so we have to multiply it with cash flow as well?
and again in blipton 12/08 only standard deviation is used and not the cash flowIn Tisa co they have not multiplied with annual cash flow whereas in katamai they have multiplied with annual cashflow ?
thank youhi sir
i have the same problem regarding interst rate swap please expalin.Q.Alaska Salvage is in discussion with potential lenders about financing an ambitious five-year project searching for
lost gold in the central Atlantic. The company has had great success in the past with its various salvage operations
and is now quoted on the London Alternative Investment Market The company is currently financed by 120,000
equity shares trading at $85 per share. It needs to borrow $1.6 million and wants to borrow at a fixed rate. Alaska
Salvage is concerned about the level of the fixed rates being suggested by the lenders, which are typically 9%. After
lengthy discussions the lenders are prepared to offer finance against a mezzanine issue of fixed rate five-year notes
with warrants attached. Each $10,000 note, repayable at par, would carry a warrant for 100 equity shares at an
exercise price of $90 per share. The estimated volatility of the returns on the company’s equity is 20% and the risk
free rate of interest is 5%.
You may assume that the issue of these loan notes will not influence the current value of the firm’s equity. The
issue will be made at par. The company does not pay dividends to its equity investors.
Alternatively Alaska Salvage is interested in an interest rate swap and has found a willing counterparty, which can
borrow at a variable rate of LlBOR + 2% or a fixed rate of 6.5%. The counterparty wants to borrow at a variable rate.
Alaska Salvage could borrow at a variable rate of LlBOR + 3%. Bank fees for the swap would be 0.25% each.
Illustrate how the interest swap could be structured to leave both parties better off than before the swap.
PS. sorry for long post but this is really irritating the way bpp has given solution
Thank youSir how in year 6 the unrecovered allowance is calculated as 0.027 in sensitivity analysis part a?
thank youhello Sir,
I donot understand regarding part b that how they decided the option as a put option?
And in part c that fndc will buy put option and sell call option .how to decide that?
Moreover in part c how is the premium amt of 0.095% is calculated?hi Sir,
Why don’t we include the 7 million for develpment in start of each year 1 and 2 as part of Pe?Hi Sir,
Regarding part a I do not understand that how the additional contribution figures are calculated for year 1-4 as it is given in working 7 .
Thanks in advanceHi
first of all i apologize on replying on tutor forum .Sir i am just mentioning the question name in which big bang apeared.
I think the big bang @mosingh is talking about is the type of change matrix which is in q33 ( of bpp kit ) 06/08 pharmaceutical system international part a .
Hope it helps.hi Sir
1.I don’t get while calculating the adjusted asset beta for option 1 how is the value of retail section taken as $5,569?
2. how come the cost of debt is 6.2% in calculating WACC for option 2?
Thank youSir should the change in fair value of calves be not 44,000 in income statement its written 290,750.how?isn’t 290,750 the value at reporting date ?
ok Sir i was just trying to equate the total figures before and after reorganisation for assets and liabilities for the three companies to just check that cz in the answer they say that the criteria has been met.
Sir plz explain
how is the following criteria met in case of decany :1. the new parent obtain control of the original parent or entity by issuing euity instrument in exchange for existing equity instruments of the original parent or entity
2.asset and liabilities of the original group and the new group are the same immediately before and after reorganisation .
3. the owners of the original parent or entity ( DEcany) before the organisation have the same relative or absolutist interest in the net assets of the original group and the new group immediately before and after the reorgansiationrevised IFRS 3 says that by entering into acuqisition , the acuirer become obliged to make additional payments.Not reconising that obligation means that the the consderation recognised at acuisition is not fairly satated.
so rEVISED ifrs 3 requires recognition of contingent consideration at FV at acuisition date and any changes to FV wil be subsequently taken to PnL( It was the original IFRS 3 that required the recognition of contingent consideration if it was probabale and the amount can be measured reliably)
