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ACCA P4

  • 04-06-2012 6:46pm
    #1
    Registered Users, Registered Users 2 Posts: 189 ✭✭


    Hi,

    Just a brief question if anyone could help me.

    Im doing company valuations: Dividends and have Gordon Growth model and average of historic growth.

    In the later i have 4 square root of 20/12, -1 and it comes up with an answer of 13. 6%. i cant figure it out for the life of me on scientific calculator and im wasting valuable time on it.. i know its simple could could someone please explain it

    Regard


Comments

  • Registered Users, Registered Users 2 Posts: 152 ✭✭masoodsarwar


    Brad1234 wrote: »
    Hi,

    Just a brief question if anyone could help me.

    Im doing company valuations: Dividends and have Gordon Growth model and average of historic growth.

    In the later i have 4 square root of 20/12, -1 and it comes up with an answer of 13. 6%. i cant figure it out for the life of me on scientific calculator and im wasting valuable time on it.. i know its simple could could someone please explain it

    Regard

    you cna do it 2 ways.

    1. either taking 4th root of 920/12) or
    2. taking 1/4th power of (20/12).

    the second is easy. u write (20/12) in brackets ans they take x^y and then write 1/4
    for first one every calculator has differnt order.
    in some u write the root first and vice versa.

    hope that explains.


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