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Hey, those are the questions I had. Do you remember when you put for WACC?
My cost of debt was really low, like 2.6% , which I may think might be a little too lowFor Npv I got 400 something (in $ ‘000) and for sensitivity 12.5% , anybody else?
My section C was NPV worth 5 marks with then some sensitivity calculations, I could do sensitivity to sales volume but could not remember how to work out sensitivity to discount factor!
The other was the cash operating cycle, got 41 days. Then explain 3 ways to reduce cycle and a 6 mark question on why cash is important to a business, my answer would probably get 2 marks at the most!
I also had a Miller Orr question but forgot to square the deviation and change interest rate to daily so no marks there!Hi, did you get contribution 200 per unit ques in Npv? And how did you solve that?
I got the same ques of working capital as yours and got 41 days in operating cycleI personally thought the exam was quite hard. Especially the MCQ”S.
I know this has been discussed but anyone who got the CAPM question about the construction companies, did you get 19 . something % for the Project specific cost of equity? and 17 something % for the companies general cost of equity?
please let me know. Thanks!
awesome man. glad to hear that. and yeah the mcq’s were kinda ridiculous. Quite a few mcq’s that couldn’t really be solved unless you thoroughly read the whole textbook. Well anyways, I hopefully pray that we both (and the everyone else tbh) passes
How did you guys get to 41 days? I got much longer than that and now feeling a bit panicked :((
It should be around 68 days as you had to separate cash and credit sales , also raw materials had credit purchases in it so need to separate also, otherwise inventory was straight forward.
It doesn’t make sense to have 41 days as it defeats the purpose of the second question on how to improve working capital days.
I agree Trushal. Did you just use the cost of sales figure for inventory WIP?
did anyone get the IRR QUESTION SECTION C LAST QUESTION.
iF YES WAS THERE PROBABILITY ANALYSIS IN THE QUESTION ??? OR FOR CONTRIBUTION ONLY MULTIPLY BY THE INFLATION FACTOR
ilham9089 wrote:I agree Trushal. Did you just use the cost of sales figure for inventory WIP?
Yes for inventory you have to use cost of sales, while payables was raw material credit purchases
yash07 wrote:did anyone get the IRR QUESTION SECTION C LAST QUESTION.
it was stated inflation wont affect contribution so $200 for all years
@yash07
Hi yes I got the same question where I did contribution multiply with inflation factor.
I don’t get anything about probability analysisDid u get qstn in Sec c where to calculate settlement discount. I mean to offer discount or not we have to decide . That was 10 mark qstn
Did anyone got the calculation of irr using 11% and 20% discount rates in section C? What was the answer? Part b was about Discounted payback period.
The second question was about decision to give early settlement discount, calculation of working capital cycle and crtical discussion of working capital policies to be adopted. What were your answers to these?i did same but was it stated in the question that inflation will not affect contribution? i did not see that. SEE REPLY FROM TUSHAL ABOVE
was it the same irr question where u get two discounting factor %, then second part on payback (theory)
@Yash07
Yes I too didn’t see that inflation do not effect contribution.
I mean I did inflation in contribution.And there were 2 discounting factor which is already given in qstn . And also settlement discount too
I hope to pass
jkrolling wrote:Guys did anyone else got cashflow of 0 in year 1 of npv Q and did we have to use fixed costs or ignore them in NPV Q? does anyone remember their npv?
Do u remember what your nov was?
Did anybody get a question in sec b of money market hedge . If yes was it that they asked the deposit rate and borrow rate… What was the answer that you got?
Is it just me or compared to the other F modules does FM’s calculation questions in section c always seem to be a lot of work for very few marks? I sat mine today and felt very overwhelmed and just forgot everything I guessed loads. The MCQ’s were really tough! Never mind September here I come!
TRIPLLL wrote:Hey, those are the questions I had. Do you remember when you put for WACC?
My cost of debt was really low, like 2.6% , which I may think might be a little too low2.596 something like that (2.6% round figure). who knows may be we are right or wrong. What was your final answer i mean wacc
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