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Hi,
In the NPV calculation why are losses carried forward (from year 1) relived in year 3 and not in year 2 ?
Thanks
Because the question states:
“Recently, government representatives held trade shows internationally and offered businesses a number of concessions, including:
(i) zero corporation tax payable in the first two years of operation; and
(ii) an opportunity to carry forward tax losses and write them off against future profits made after the first two years.”
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