- This topic has 1 reply, 2 voices, and was last updated 12 years ago by .
Viewing 2 posts - 1 through 2 (of 2 total)
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
Interactive BPP books for September 2026 exams, recommended by OpenTuition.
Get discount code >>
Forums › ACCA Forums › ACCA FM Financial Management Forums › NPV Question
why the additional working capital required is not included in the tax calculation? THX
@massivecodedake
If assume that additional $100k is needed to finance trade receivables, that will be required for sales in current project, it will not bring any additional tax payments or tax reliefs. It is cash term. Not profit/loss.
Tax is payed on profit, not just cash flows.
