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Fubuki – Dec 2010

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Fubuki – Dec 2010

  • This topic has 3 replies, 2 voices, and was last updated 12 years ago by AvatarJohn Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • November 21, 2013 at 9:17 am #147119
    Avatarrmracca
    Participant
    • Topics: 9
    • Replies: 10
    • ☆

    Hi Tutor ,
    I had a doubt on the D/E ratio used in this question for -Hazium co – Dec 2010.
    From the question the following can be calculated Ve= 15*2.53=37.95M & Vd=40*94.88/100=37.952M ,
    so based on the calculation =37.952/37.95= 1.00, then why has it been assumed D/E=1 when it can be calculated ?

    Regards,
    RMR

    November 21, 2013 at 4:28 pm #147232
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54843
    • ☆☆☆☆☆

    I am not quite sure what your problem is.
    He has calculated Ve and Vd. D/E is not exactly 1, but since it is almost 1 he has continued using 1 instead of using the precise figure.

    November 21, 2013 at 8:50 pm #147287
    Avatarrmracca
    Participant
    • Topics: 9
    • Replies: 10
    • ☆

    Thank you tutor , I got confused as it was written on the solution “Assume D/E=1”.

    November 22, 2013 at 9:00 am #147343
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54843
    • ☆☆☆☆☆

    It was an odd thing to write I agree 🙂

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