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i attempted question 1(c), now i see the solution of f9, i found that i APPLIEDTraditional and Modigilani theories in question 1(c) IN exam. and finish with the conclusion …is it correct answer to that question…I am in tension :(((( please reply me
Forgive me but I am on vacation and it is difficult for me today to check the ACCA answer because of the Internet connection where I am. Tomorrow I should be able to check OK and then I will reply 🙂
Modigliani and Miller is not really relevant to this question. They are concerned with changes in the capital structure, whereas the exam question is asking about changes in interest rates.
Don’t worry too much – it was 7 marks but there are another 93 marks 🙂but i also write about what will interest rate effect on COMPANY, CUSTOMERS and NPv
and last question from mine….. ITS WAS MY 2nd attempt of F9 …. is my passing Chances is increase or not?
Oh – if you did write about the effect of interest rate increasing then they will give you marks for that. You will not lose marks for writing about M&M even though it is not relevant for this question.
The fact it was your second attempt won’t affect the way they mark your exam (the marker will not know).
Thank you very much sir …Thanks for your time…..AND PLease pray for my result 🙂
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