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Lirio Co

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Lirio Co

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by AvatarJohn Moffat.
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  • October 28, 2019 at 6:42 am #551049
    Avatartoushiga
    Participant
    • Topics: 424
    • Replies: 171
    • ☆☆☆☆

    Hello Sir ,For March / June 2016 Q1 Lirio Co
    Appendix 3

    Can the div capacity calculate in part (b)(i) in calculating Lirio Co ‘s value which the large project is not undertaken and div growth rate is maintained at the historic level rather than using the expected div in Feb 2017? ($0.255)

    Thank you.

    October 28, 2019 at 7:29 am #551054
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    $0.255 is the dividend in 2016, not 2017, and so it is used in calculating the historic growth rate.

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