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Chapter 10. question 1

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Chapter 10. question 1

  • This topic has 3 replies, 2 voices, and was last updated 8 years ago by AvatarJohn Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • February 28, 2018 at 8:31 pm #439437
    Avatarpboah
    Member
    • Topics: 2
    • Replies: 1
    • ☆

    Sir,

    How do I know that in discounting the NPVs i should be using the annuity table or the present value table? It really confuses me.

    March 1, 2018 at 7:23 am #439479
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54846
    • ☆☆☆☆☆

    We use annuity tables when there are equal cash flows each year. We use present value tables when the cash flows are different each year.

    It sounds as though you are using the lecture notes without watching the free lectures. It is in the lectures that I work through the examples and explain and expand on the notes – they are only lecture notes. If you are not watching the lectures then you need to buy a Study Text from one of the ACCA approved publishers and study from there.

    With regard to using the tables, this is basic revision of Paper F2 – it will help you to watch the relevant Paper F2 lectures.

    March 1, 2018 at 8:32 am #439486
    Avatarpboah
    Member
    • Topics: 2
    • Replies: 1
    • ☆

    Okay Sir. Thank you

    March 1, 2018 at 8:41 am #439494
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54846
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘Chapter 10. question 1’ is closed to new replies.

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