• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

20% off ACCA & CIMA Books

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

Investment appraisal

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Investment appraisal

  • This topic has 1 reply, 2 voices, and was last updated 1 year ago by LMR1006.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • May 3, 2024 at 6:48 am #704862
    sabitha
    Participant
    • Topics: 19
    • Replies: 8
    • ☆

    Juicy Co is considering investing in a new Industrial juicer for use on a new contract. It will cost $150,000 and will last 2 years. Juicy Co pays corporation tax at 30% (as the cash flows occur) and, due to the health benefits of juicing, the machine attracts 100% tax- allowable depreciation immediately. – To Given a cost of capital of 10%, what is the minimum value of the pre-tax contract revenue receivable in two years which would be required to recover the net cost of the juicer sir similar question you have done before but at a time you consider about after tax revenue 0.7R but in this question they are talking about the pre tax revenue i didn’t get it could you explain sir…..

    May 3, 2024 at 8:12 pm #704903
    LMR1006
    Keymaster
    • Topics: 4
    • Replies: 1506
    • ☆☆☆☆☆

    The question is asking for the minimum value of the pre-tax contract revenue receivable in two years that would be required to cover the net cost of the juicer.

    In this case, the pre-tax revenue refers to the revenue before any taxes are deducted.

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • Elikplim on Time Series Analysis – ACCA Management Accounting (MA)
  • Elikplim on Time Series Analysis – ACCA Management Accounting (MA)
  • shravanm on ACCA AAA Employability and Technology Skills
  • MitaP on Presentation of Financial Statements (IAS 1) – ACCA Strategic Business Reporting (SBR) lectures
  • John Moffat on Activity Based Costing part 1 – ACCA Performance Management (PM)

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in