Project appraisal

1. 0 is zero, which is a number. 2. It is obvious at a quick look at the question that the IRR (when the NPV is zero) is between 10% and 15%. We only use 2 guesses and so there is no point at getting the NPV at 20%. 3. By definition, the IRR is when the NPV = 0 You really must watch my free lectures on this.

I have watched your lectures twice .but there is few things that I'm still confused And the way BPP explains their answer is so difficult to understand . Btw , can you pls tell me parts will be asked in Part B ? Is it all about budgeting ? Pv table will be provided in the exam ? Thanks Mr. John

According to what is written in the syllabus (on the ACCA website): "Section B will contain 3 ten mark multi-task questions (MTQs) each of which will examine Budgeting, Standard costing and Performance measurement sections of the syllabus." The PV tables are provided in the exam (the formula sheet and tables on pages 3 to 6 of our free lecture notes are what you are provided with in the exam).

Question 12b22 from BPP For Wye , why is the power of 0.25 there ( 1.20^ .025 ) ? Thanks Mr John

Because writing something to the power 0.25 is another way of typing the 4th root of the same number ( 1/4 = 0.25). They have only written it this way because it is easier for them to type!