ACCA December Exams

Post comments & Vote in Instant poll >>

20% off ACCA & CIMA Books

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

FCFE

This topic has 1 reply, 2 voices, and was last updated 6 months ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author
Posts
June 2, 2024 at 9:21 am #706442
bear123
Participant
- Topics: 6
- Replies: 6
Sir, I had a small doubt. In calculating FCFE.
We take “tax” on PBIT or after deducting interest? If we take tax on PBIT why dont we deduct interest from it?
June 2, 2024 at 8:57 pm #706478
John Moffat
Keymaster
- Topics: 57
- Replies: 54499
For the free cash flow to equity we calculate the tax on the profit after interest (because the interest is allowable for tax).
Author
Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.