Hello
Sir, while calculating APV , in financing cashflows we take,
PV of tax savings from interest payments
PV of after tax subsidized loan benefit
Issue cost of debt or equity. Right?
But do we also consider PV of tax savings from issue cost or not?
Ask the Tutor ACCA AFM
APV
4y ago#1Yes, but only if they are tax allowable. Normally the questions on APV specifically say that they are not tax allowable.
Sign in to reply to this topic.