- This topic has 0 replies, 1 voice, and was last updated 6 years ago by .
Viewing 1 post (of 1 total)
Viewing 1 post (of 1 total)
- You must be logged in to reply to this topic.
Interactive BPP books for September 2026 exams, recommended by OpenTuition.
Get discount code >>
Forums › ACCA Forums › ACCA AFM Advanced Financial Management Forums › inflation
Hi,
I’m having trouble understanding how to calculate the working capital /sales using inflation for NPV/APV..sometimes it is to multiply inflation rate to the power of the year and sometimes it is just to multiply inflation rate alone.
eg Dec 2018 Q3 working capital calculation – multiply inflation rate alone
but Jun 2014 Q2 sales and costs calculation – multiply inflation rate to the power of the year
When exactly do I multiply using the power of the year?
Many thanks!
