VARForums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › VARThis topic has 1 reply, 2 voices, and was last updated 11 months ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total)AuthorPosts January 26, 2024 at 6:47 am #699097 guyver101ParticipantTopics: 33Replies: 28☆☆Is it true that VAR works in the opposite direction, given that its a statistical estimate based on normal distribution?eg if NPV = 1000, and 95% VAR = 800 we say we are 95% confident that the minimum NPV is 200Can we also say we are 95% confident that the maximum NPV will be (1000+800) = 1800?Thanks January 26, 2024 at 8:45 am #699101 John MoffatKeymasterTopics: 57Replies: 54500☆☆☆☆☆We can, but this is not the point of looking at the VAR because we are concerned about the risk of things being worse.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In