Level:

This course is suitable for students of the following levels:

CTA, BCTA, IAC and APC Candidates.

This crash course breaks down the key principles of capital budgeting in a simple, practical and exam-focused manner. You’ll learn not only how to perform the calculations, but also why they are performed and how to avoid the common mistakes that cost students valuable marks.

Topics Covered:

• Introduction to capital budgeting
• Wealth maximisation and investment decision-making
• The three golden rules of capital budgeting
• Relevant vs irrelevant cash flows
• Sunk costs and opportunity costs
• Time value of money
• Working capital adjustments
• Tax considerations in capital budgeting
• Inflation and discount rates
• Structuring a capital budget
• Net Present Value (NPV)
• Internal Rate of Return (IRR)
• Project acceptance and rejection decisions
• Common examination pitfalls and techniques
• Qualitative factors in investment decisions

22Min Worth of Videos

Built in Quizzes

Exam Practise questions