• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exam Results

Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for June 2025 exams.
Get your discount code >>

32 coedon co

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › 32 coedon co

  • This topic has 3 replies, 2 voices, and was last updated 8 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • February 2, 2017 at 2:11 pm #370769
    shilpamary
    Member
    • Topics: 99
    • Replies: 81
    • ☆☆

    1) bpp revision kit 32q coedon co ,I didn’t understand how equity beta has been found out .I didn’t get their assumption and in what proportion it is taken (MVe &MVd )
    Can it be worked out without stated assumption ?

    2) May I know in which all scenarios we multiply asset beta in proportion to apply in equity beta formula .Done 3 questions ,found it confusing .Sometimes asset beta is straightly applied sometimes its calculated &combined in proportion then equity beta is found out

    February 2, 2017 at 4:23 pm #370789
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    1) I am not sure I understand your problem. We need the growth rate in order to calculate the market value of equity (and hence the gearing ratio) and using the rb growth formula on the formula sheet is normal.

    2) I assume you are referring to the fact that two streams are combined, with differing betas. You will know from the free lectures that in this case the total beta is the weighted average of the individual betas, weighted by the total market values of each stream.

    February 3, 2017 at 4:21 am #370853
    shilpamary
    Member
    • Topics: 99
    • Replies: 81
    • ☆☆

    1) part where they have calculated asset beta for hotel service

    i didnt understand this —-> 0.61=asset beta hotel service *0.6 + (0.4*0.4)
    where they got proportion of 0.6 and 0.4?
    0.61 is the beta asset we have found out

    February 3, 2017 at 8:50 am #370881
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    The question says that 60% is Coeden is in hotel services and 40% is in the property company.

    Again, the total beta is the weighted average of the separate betas for hotel and for property.

    This is explained in my lectures on CAPM.

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • Kim Smith on AA Chapter 9 Questions
  • Walkera on Basic Variance Analysis part 1 – ACCA Performance Management (PM)
  • kartierclass on AA Chapter 9 Questions
  • revathik on IASB Conceptual Framework – Introduction – ACCA Financial Reporting (FR)
  • Josfel on Relevant cash flows for DCF Taxation (example 4) – ACCA Financial Management (FM)

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in