[ashpops28]

Also, a question says that tax allowable depn on infrastructure($2700) is 20% for the first year, and straight line there after. The infrastructure has an expected working life of 6 years after which new investment will be required.

The solution shows that the tax allowable depn calculated was initially $540 and $432 for the years after.

Aren’t these figures meant to be hit by the tax charge and then put in to the npv calculation, instead of what has been done?

[ashpops28]

Thank you 🙂

[ashpops28]

did any one use the OT p4 notes solely as their main study material? coz compared to a normal text book (approx 500 pages plus) they seem very summarised..

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