Specimen paper example problem

Posted: Tuesday 22 March 2011 by reaver

Replies : 1

Keywords: nov, novemeber 2009, P1, project evaluation

This question relates to NPV calc, it's question 3 in Specimen Paper from Nov 2009. Please see uploaded:

question

answer

I cannot figure out how did they come up with tax of 10% taken from carried forward amounts (second table in answer sheet). Anyone, any idea?

Posted by reaver on Saturday 26 March 2011 22:52

Nobody wants to give a try? It's a good practice before the exam, this question os worth 25 marks!

Chartered Institute of Management Accountants