Share

ACCA Exam Tips P4 LSBF
– International investment appraisal using adjusted present values/net present values. Sensitivity analysis and capital rationing.
– Cost of capital using the principles of Modigliani and Miller prepositions or geared and ungeared betas.
– Hedging exchange rate or interest rate risk using futures, options and swaps.
– Mergers and acquisitions – valuation using free cash flows/P/E ratio method, cash offer or share exchange and regulations of takeovers.
– Capital reconstruction schemes – designing a capital reconstruction scheme or assessing the success of a given scheme.
– Option pricing theory. Real options, example, option to abandon, expand and delay. Valuation using the Black-Schole option pricing model.

Related Posts:

Share

Leave a Comment