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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Marking
Hello Sir
I am a bit concerned that I made a mistake in calculating the equity value of a target company. I did everything correct initially, I calculated free cash flows, discounted back to the present based on perpetuity formula. Then, I had market value of company, but right at that time, I forgot to deduct debt to arrive at the equity value. This must have affected my subsequent calculations like %gain in wealth and ultimately discussion part. My question is, assuming the other parts were nearly perfectly calculated, will I get credit for the correct workings with the exception of equity value of target company, or will I lose all the marks because of it?
Please, help me with this, cos I am getting worried.
Thank you so much!
Don’t worry. If you make a mistake you only lose the marks once – if you then do workings correctly using the wrong figure then you will get full marks for those workings.