[ka123]

Passed with 77

[ka123]

Usually the acquiree will see a short-term movement in the price of its shares to resemble the price per share that was paid by the acquirer. This can be a positive or negative amount.

Read more: https://www.investopedia.com/terms/a/acquiree.asp#ixzz1xbJkMroc

I think the above make clear for u guys. As for the acquirer. It should include nentes earnings using the new PE ratio synergy benefits and existing Mije earnings and new shares that was 10m and 11.6m.

[ka123]

@garrick1986 said:
The weighted average question on qn 4 take a lot of time…. hmmm got 5 minute for VAR so just guess based on BPP textbook…. hopefully can pass… no currency at all this round…

I agree the weighted COC took time the rest was manageable to most extent. Do you remember what equity beta was used for the ke of the new project and what was the final WACC.

[ka123]

As for consolidation i think i transferred 7700 to NCI,

Good will was 100000 (i think 🙂 )
goodwill was not required but then again i had extra time and so calculated it to check my consolidation answer using a shorter method to get to consolidation answer.

My total reserves ended up with a value of 933,300 or 923,300, which i then double checked and found right 😀

[ka123]

@ahai i think it was 1110 sumthing
2011
Revenue was 8125-3500=4625 something
cant actually remember accurately the revenue part but i think it was as above
costs were (5500+4000)x65% – 2660 = 3515
2010 costs were (5500+4000)x 28% = 2660
2010 costs were given but i calculated it otherwise to see if my working was correct for 2011:P

[ka123]

@ahai 🙁 i think it was 3000 equity shares of 0.25 or something like that,
hope it doesnt push my score below 90, everything else went ok on my part
wat examples did u gave for the framework question

[ka123]

Continuing Profit 2011 was 2450
Continuing Profit 2010 was 1750
Diluting shares as per open tuition notes was 1200 shares.
Interest Savings was 280 and no increase in earnings due to options thus,
DEPS 2011= 2450+280/3000+1200+2000 = 0.44
DEPS 2010= 1750+280/3000+2000 = 0.406

U should refer to open tuition notes as Convertable notes were diluting so included 🙂
Hope it helps

[ka123]

I Got 98%

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