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Loan Note question

Forums › ACCA Forums › ACCA FM Financial Management Forums › Loan Note question

  • This topic has 2 replies, 2 voices, and was last updated 15 years ago by Anonymous.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • November 14, 2010 at 4:14 pm #45965
    jrow
    Member
    • Topics: 27
    • Replies: 15
    • ☆

    hi there,

    I’m not sure when I should use an IRR calculation or just a normal discount calc (i.e. using just one discount factor) for loan notes. Also, not sure when I should use the whole value of all of the loan notes or just one?
    Can anybody help please? thanks

    December 3, 2010 at 9:57 am #70556
    Anonymous
    Inactive
    • Topics: 0
    • Replies: 2
    • ☆

    hey,IRR using two assumed discount factor is used while calculating Kd for reedeemable bonds only and single value discount factor is used while calculating the market value of shares.
    i dont udrestand ur 2nd prblm.
    hope i answerd ur frst one

    December 3, 2010 at 9:58 am #70557
    Anonymous
    Inactive
    • Topics: 0
    • Replies: 2
    • ☆

    hey,IRR using two assumed discount factor is used while calculating Kd for reedeemable bonds only and single value discount factor is used while calculating the market value of shares.
    i dont udrestand ur 2nd prblm.
    hope i answerd ur frst one

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