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Kaplan
Financial ACCA P4 Education & Revision Course
Some
optional information on Kaplan Financial's ACCA P4 Education and Revision
Course will be posted on this website.
My
contact email: thomas.wu@kaplan.com
For
ACCA Global website, please click
here.
For
ACCA Global website on P4, please click
here.
If
you are considering investing in a financial calculator, you can check
their manuals here first to see which one is more suitable for you.
Common financial calculators are HP12c and TI BAII PLUS. User manual
and a tutorial for the HP12c can
be found here and a simple tutorial for the HP12c can
be found here. User manual for the TI BAII can
be found here.
Back
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Updates ||
Homework
|| Session Notes
UPDATES
Back
to top ||
Updates ||
Homework
|| Session Notes
Please
check here for updates during the course.
| Sept
6, 2014 |
Revised
Module 2 Investment Appraisal here.
Module 3 WACC here.
Partial
marked Module 2. Summary notes here. |
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| October
16, 2014 |
Answer
key for Saturn. Answer
key for Limni. |
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| October
21, 2014 |
Marked
Tisa Question. Note
from class. |
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| October
23, 2014 |
Marked
Tampem Question. Note
from class. |
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| October
28, 2014 |
Marked
Sleepon Question. Marked
Digunder Question. Note
from class. |
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| October
30, 2014 |
Marked
Chimura Question. Summarized
Option Notes. Note
from class. |
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| November
4, 2014 |
Marked
Makinos Question. Marked
HAV Question. Summarized
Option Notes. Note
from class. Original
Option Notes. |
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| November
8, 2014 |
Marked
HAV Question. Marked
Doric Question. Marked
Nubo Question. Marked
Kenduri Question. Note
from class. |
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| November
11, 2014 |
Marked
Kenduri Question. Marked
Awan Question. Note
from class. |
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| November
14, 2014 |
Marked
Kenduri Answer on one usd payment to parent. |
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| November
18, 2014 |
Marked
FNDC Question. Marked
Lammar Question. Note
from class. |
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| November
22, 2014 |
Some
information on P4 this December: |
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- As
mentioned in class, NPV (including NPV, FCFF, FCFE, WACC, beta
adjustment, and firm valuation) and hedging has a systematic
approach to answering the question. It would be easier to obtain
marks. For acquistion (premium or offer price calculation) and
divestiture (sell asset, spin-off, or MBO) topics, there are
more variations on how the same information can be asked, making
it difficult to pinpoint where the marks will be rewarded, resulting
in low probability for scoring.
- Using
options (Black Scholes) to value firm or real options plus some
definition terms on the option Greeks. For firm valuation, bond
holder owns firm and sold shareholder a call option (that means
shareholder owns a call option to buy the firm at exercise,
in this case the debt face value / market value is the exercise
price, and firm value is the asset value). For real options,
know first determine whether owns call or put option. If own
call option, then cost is exercise price and project market
value is the market price. If own put option, do same formula
for call then apply the put call parity.
- Potential
50 marks questions. (a) NPV or APV with real / nominal rate
and different ways cash flow input calculated, with partial
marks for dividends capacity or real option available for project.
(b) company A wants to buy company B but must divest some divisions
first, i.e. combining first divest, sell, spin-off then acquisition,
valuation, offering premium calculation.
- Potential
25 marks questions. (a) FX or IR hedging (more likely IR with
collar). If FX then netting and combinint by currency or by
time, then forward hedge, money market hedge, and options on
futures; beware of how the FX rate is quoted and what action
on currency is required. If IR then confirm borrowing or investing,
then forward hedge, futures and / or options on futures, and
on collar. (b) using options to value firm or to value real
options in projects (see note above). (c) acquisition or divestiture.
For acquisition, offer price and premium evaluation, potentially
calculation of more detailed numbers for convertible bonds or
preferred shares issuance for acquisition. For divestiture,
comparing spin-off potential and valuation after spin-off, there
might be variations in how the shares are exchanged in the spin-off.
(d) simple APV calculation, make sure you know which discount
rate to use and what effects of debt financing and issurance
costs to add back. (e) simple firm valuation using FCFF / FCFE,
with beta adjustment for new business or combined as APV evaluation.
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Back
to top ||
Updates ||
Homework
|| Session Notes
PRACTICE
QUESTIONS AND HOMEWORK Back
to top ||
Updates ||
Homework
|| Session Notes
P4 mindmap
can be downloaded here.
Back
to top ||
Updates ||
Homework
|| Session Notes
SESSION
NOTES Back
to top ||
Updates ||
Homework
|| Session Notes
P4 mindmap
can be downloaded here.
| Education
Session 1 |
Module
1 Stakeholder, Module 2 Investment Appraisal |
| September
2, 2014 |
[download:
module
1 stakeholders note] |
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| Education
Session 2 and 3 |
Module
2 Investment Appraisal |
| September
6, 2014 |
[download:
module
2 investment appraisal note updated] |
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| Education
Session 4 |
Module
3 WACC, Risk Adjusted WACC, and APV |
| September
12, 2014 |
[download:
module 3 WACC] |
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| Education
Session 5 |
Module
4 Dividends, Module 5 Acquisitions |
| September
16, 2014 |
[download:
module
4 dividends, module
5 acquisition] |
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| Education
Session 6 |
Module
6 Reconstruction |
| September
18, 2014 |
[download:
module
6 reconstruction] |
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| Education
Session 7 & 8 |
Module
6 Reconstruction, Module 7 Options, Module 8 Risk Management and
FX Risk |
| September
27, 2014 |
[download:
module 7
options], module
8 risk and fx risk, module
9 interest rate risk] |
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| Education
Session 9 |
Module
8 Risk Management and FX Risk |
| October
7, 2014 |
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| Education
Session 10 |
Module
8 Risk Management and FX Risk, Module 9 Interest Rate Risk |
| October
10, 2014 |
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| Education
Session 11 |
Module
9 Interest Rate Risk |
| October
14, 2014 |
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| Revision
Session 1 |
Saturn
and Lemni case |
| October
15, 2014 |
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| Revision
Session 2 |
Lemni
and Tisa Co case |
| October
21, 2014 |
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| Revision
Session 3 |
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| October
23, 2014 |
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| Revision
Session 4 |
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| October
28, 2014 |
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| Revision
Session 5 |
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| October
30, 2014 |
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| Revision
Session 6 |
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| November
4, 2014 |
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| Revision
Session 7 & 8 |
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| November
8, 2014 |
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| Revision
Session 9 |
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| November
11, 2014 |
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| Revision
Session 10 |
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| November
18, 2014 |
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Back
to top ||
Updates ||
Homework
|| Session Notes
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