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Working Capital Discount Calc

Forums › CIMA Forums › Working Capital Discount Calc

  • This topic has 5 replies, 4 voices, and was last updated 5 years ago by P2-D2.
Viewing 6 posts - 1 through 6 (of 6 total)
  • Author
    Posts
  • April 25, 2017 at 8:08 pm #383782
    brazierq982
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    Hi,

    I am having trouble understanding how to type the discount annualisation working in to my calculator

    (100/100-d)*365/t-1

    Doing it like this gives me a completely different answer to Chris?

    Am I being dense?

    May 6, 2017 at 8:10 am #385048
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7228
    • ☆☆☆☆☆

    No,

    I think there is a mistake in the answer that needs to be updated, is should be noted in a previous thread.

    Thanks

    July 29, 2020 at 9:47 am #578592
    lewis38
    Member
    • Topics: 0
    • Replies: 1
    • ☆

    Hi please help.

    I am having similar issue in video it shows (100/100-2) *365/20 -1 = 0.4458

    But when I put into the calculator I get 17.62

    Where am I going wrong?

    Thank you

    August 3, 2020 at 4:51 pm #579097
    anita190
    Member
    • Topics: 0
    • Replies: 1
    • ☆

    Hello,

    not sure where this example comes from, but you have a slight mistake in formula. There should be a power sign not multiplication in between, so it is: [(100/100-2)^365/20] -1. Now when you put it to your calculator it should equal to 0.4458.

    Hope this helps.

    Best,
    Anita

    August 8, 2020 at 8:41 am #579619
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7228
    • ☆☆☆☆☆

    Have you manged to be able to work out how to use your calculator? Let me know if you’re still struggling.

    Thanks

    August 8, 2020 at 8:42 am #579620
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7228
    • ☆☆☆☆☆

    That’s correct but it can still sometimes be a challenge to enter the numbers in the calculator in the correct order.

  • Author
    Posts
Viewing 6 posts - 1 through 6 (of 6 total)
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