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Q1 was alright bar the element about the second coupon, I wasn’t sure how to calculate the coupon. Got around 10.7 for the discounted share price. Calculated FCFF and took 60% as equity as the cost of capital given said it was after the debt issues. Duration & effect on bond price due to interest was a nice question.
Found the calculation elements of Q1 a bit less demanding than other papers.
Q2 Multi-Currency netting was a nice question, done a good few in revision. I just put the amounts in at dollar and calculated the balances due as requested. Part two was confusing because it gave futures details. Question only asked to do options and collar, so thats what I did. Wasn’t 100% sure about my numbers so did a good few theory points, how a collar is set up etc.
Struggling for time so only made about 12 points for whole of question 4. Treatment for suppliers seemed to be common sense. Crazy time pressure as usual but hoping I scraped a 50.
I got 68 contracts. The company was going to borrow in 5 months and repay in 11. Therefore the length of loan was 6 months
34 * 0.5 = 17
1 * 0.25 =.2517/.25 = 68
Made many silly mistakes in 1 just cut my losses after redundancy and did the report. Did 8/9 issues risks.
Managed 4 a and a tiny bit of 4b was too confusing. Scribbled a few lines down for Q2. Just compared co to market and benefits of having equity/not having equity.
September sitting looking very likly. Disappointed as I was well prepared going in but time pressure got me.
Q1 was nice. I didn’t have the mark breakdown but went 11,8,5,7 to get the 31.
Q2. Talked about goodwill. Ias 38 Ias 23. Ias 37 for natural disaster. Unrealised profit for last bit.
Q4. Through down some random points.
Q5 was ok I think bar the discussion with management part.
@Brian, no models. You needed to apply the factors of each type of growth to the case study, e.g Internal growth is small growth and risk adverse while acquisition is the opposite but has high expenditure etc
Time management may have cost me here I think. Started off on Q4 and tried to get 3 points for each of the I’s, took me far too long! Did Q3 mentioned coupled of price changes, promotions relocating the shop. Had only 3 points for long term as I struggled for time. Q1 was a nice question, part b was tough, taught 5 forces but couldnt see enough to back it up so just made a few points, Feasibility used financial information while acceptability focused on shareholders view. Porters diamond was nice, although answer as limited due to time. Expecting the worse!