Doubts

Exercise set 3 - First Question (c)

Re: Exercise set 3 - First Question (c)

by Julio Crego -
Number of replies: 0
In the question, it says: "starting on year 5...." which means year 5 is different.

If the question reads for X years, it means all of them are included. For instance, for the next three years, it means years 1,2, and 3.

Do not worry, in the exam, it will be very clear. I will always try to use dates. E.g. In 2023, the payout ratio is 50%. it remains the same in 2024, 2025, 2026, and 2027. In 2028, it will be 100% and will remain the same onward