Business Finance (1 Viewer)

[SoCal]

But you recieve your first payment now, so you dont need to discount that value. You need to discount the other 16 payments. But with the n-1 in the forumlea, it becomes 15 payments.

Isn't the formula only n-1 if the questions says something like :

"You will be receiving 16 payments, the first of which occurs immediately."

Then it would be raised to the power of n-1 or 15 but in this case that formula doesn't seem to make much sense to me. The annuity is just like a normal eight year annuity with one extra payment occurring immediately. It should be 16. Oh well.

 

[baker182]

I have another question for you. For Week 3 Supplementary Question 4. (c) he changed the 0.4% p.f. interest rate to its effective half-yearly effective rate by:

i(l) = (1 + i(s))^m - 1
i(l) = 1.004^13 - 1

Shouldn't 1.004 be raised to the power of 12 and not 13?

The annuity is paid every 6 months, so 2 payments a year. Its compunded fornightly. So there is 26 fortnights in a year (52/2).

If the annuity is paid every 6 months, the frequency of compounding for a 6 month annuity, if fornightly is 13. To get this value. follow this:

26/2 = 13. Since there are 26 fortnights in a year, to find the number of fortnights in half a year, we must divide by 2.

I hope I have answered both your questions.

 

[SoCal]

The annuity is paid every 6 months, so 2 payments a year. Its compunded fornightly. So there is 26 fortnights in a year (52/2).

If the annuity is paid every 6 months, the frequency of compounding for a 6 month annuity, if fornightly is 13. To get this value. follow this:

26/2 = 13. Since there are 26 fortnights in a year, to find the number of fortnights in half a year, we must divide by 2.

Ah, I see. I was doing it the other way (saying there are two fortnights in a month ,so there must be 12 fortnights in 6 months. I suppose his way is more accurate since there are 26 fortnights in a year, not 24).

I hope I have answered both your questions.

Well you answered that one and for the first one I see where you are coming from but I don't agree with the formula! Thanks a lot for your help though.

I have one more quick question for you (last one I promise). You know that massive question you asked me about before, well in the solution he included the appreciation of the land from $90m to $160m but I have just been thinking about that and don't you only include cash values that will change if the project is to go ahead? Wouldn't' the land appreciate even if the project did not go ahead?

 

[Cyph]

hey guys,

how's the study going? I'm not studying for the mid-sem, I'm studying for ACFI2010 mid-semester instead which is worth 20%.. if I screw 2010 up, I get that mark regardless of how I do in the final unlike 2070...

we don't have to turn up to attempt the mid semester quiz do we???

 

[SoCal]

I still have a lot of work to get through before the exam if I am to know the whole course (the last three weeks material in under eight hours). You are putting a lot of pressure on yourself to perform in the final exam if you don't attempt this quiz, especially since you didn't do the first quiz either (don't know about the second).

I am not sure if you have to turn up to the mid-semester quiz to pass the course. You will have to look at the course outline, which I don't have on me right now. Although, I think baker182 was saying that his friend is going on holidays and is missing the mid-semester quiz, so I don't think it is compulsory, but you should check because I am not sure.

 

[baker182]

Hey guys, I Think I said before there is a spot test in week 9, I have just noticed we have a tutorial next week. So we are having a stop test in Week 8. So next week we are having a test in the workshop. I have also had this confirmed by another person too hehehe

 

[em_516]

this IS week 8.....isn't it?

 

[baker182]

I still have a lot of work to get through before the exam if I am to know the whole course (the last three weeks material in under eight hours). You are putting a lot of pressure on yourself to perform in the final exam if you don't attempt this quiz, especially since you didn't do the first quiz either (don't know about the second).

I am not sure if you have to turn up to the mid-semester quiz to pass the course. You will have to look at the course outline, which I don't have on me right now. Although, I think baker182 was saying that his friend is going on holidays and is missing the mid-semester quiz, so I don't think it is compulsory, but you should check because I am not sure.

If you dont do the mid-semester quiz, your 20% is carried into the final exam. I think the final exam is worth is 60%, so if you dont do the mid-semester exam, your final exam will be worth 80%.

With spot tests, if you miss one, you get 0%, you cant make up the marks else where.

Does anyone do ACFI 2030? I can't believe i only got 31 out of 51, wheres the love

By the way if your not too good on theory and your more a calcuation type of person, It might be worth not doing any of the mid-semester exams, because Accounting subjects mid-semester exams are mostly thoery questions. But in Business Finance 75% of the exam is calucations.

 

[baker182]

this IS week 8.....isn't it?

Yes sorry, Well next tutorial. Week 9, so i was right the first time heheehe

 

[SoCal]

Hey guys, I Think I said before there is a spot test in week 9, I have just noticed we have a tutorial next week. So we are having a stop test in Week 8. So next week we are having a test in the workshop. I have also had this confirmed by another person too hehehe

Oh no. That means that it will be on all that hard stuff we did before the mid-semester break. I had absolutely no idea on what he was going on about for most of that lecture.

If you dont do the mid-semester quiz, your 20% is carried into the final exam. I think the final exam is worth is 60%, so if you dont do the mid-semester exam, your final exam will be worth 80%.

Yeah, but it may be compulsory to just sit and attempt the mid-semester exam.

 

[SoCal]

I can relax now, I don't have an exam for two weeks (well apart from next weeks spot test)! Anyway, I went into that exam thinking it was going to be so hard but it was surprisingly easy. I didn't quite get enough time to finish though, so I had to guess one question. Someone didn't turn their phone off near me and it kept vibrating every few minutes which was really annoying and broke my concentration! Anyway, I think I should get about 80% - 85%.

 

[Cyph]

Nice one, mate!

I didn't go, studying for ACFI2010...

 

[SoCal]

So it wasn't compulsory?

 

[Cyph]

Dunno, I doubt it.

 

[SoCal]

Hahahahaha! Oh man, that is great, not sitting an exam when you don't know for sure whether it is compulsory or not, hahaha!

 

[baker182]

I can relax now, I don't have an exam for two weeks (well apart from next weeks spot test)! Anyway, I went into that exam thinking it was going to be so hard but it was surprisingly easy. I didn't quite get enough time to finish though, so I had to guess one question. Someone didn't turn their phone off near me and it kept vibrating every few minutes which was really annoying and broke my concentration! Anyway, I think I should get about 80% - 85%.

Shit 80-80 %, man you must of found it very easy. If we get a better mark in the final exam, does the weighting for the mid-semester carry over into the final exam?

 

[SoCal]

Yeah, I found about 75%-80% of it pretty straight forward but there were a few questions that made you think and that I thought were pretty tricky and will probably get wrong. How do you think you went? I think what you are trying to ask is that if we go better in the final exam (worth 60%) if the weighting then becomes 80% and the answer is yes.

 

[baker182]

Yeah, I found about 75%-80% of it pretty straight forward but there were a few questions that made you think and that I thought were pretty tricky and will probably get wrong. How do you think you went? I think what you are trying to ask is that if we go better in the final exam (worth 60%) if the weighting then becomes 80% and the answer is yes.

Yeah baby I passed for sure, but I think i will get around 70-75%, nothing that good. Hopefully we will have out in a few days

 

[SoCal]

Well since the marking is computerised I think the results should be out by Tuesday next week.

 

[Cyph]

hey boys,

what weeks have the first 2 spot tests covered? And what weeks can we expect to covered in the third?