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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › BPP Kit Q217 Tinep (a)
Dear Sir,
BPP Kit Q217 Tinep(a): When calculate the WACC using book value, Why Market value of Equity includes the Reserve amount? I think the Market Value of equity here should only talk about the Ordinary Shares Market value, and WACC is (200/200+200)*10.9%+(200/200+200)*4.93% ?
See my answer to your other question (on gearing), because it is the same reasoning 🙂
