Kaplan
　　International investmentappraisal techniques focusing on risk management tools such as value at risk.
　　Impact on WACC following hedgingof interest rate risk.
　　Company valuation based scenario,possible MBO finance to structure.
　　Adjusted present value with linkto real options and Black Scholes option pricing model.
　　BPP
　　Important area to cover include
　　Q1: We would expect section Aquestions to be mainly based on core syllabus areas such: project appraisal(often in an overseas context), business valuations (both are likely to includecost of capital calculations) and risk management (hedging).
　　Q2-4: Currency risk management,business re-organisation, real options.
　　General advice
　　The 50 mark compulsory questionwill, inevitably, draw from a number of different syllabus areas. The examinerhas said that he does not plan exams by referring to past exams (ie checkingthat the whole syllabus is being tested over the course of a number of exam sittings).These factors mean that question spotting is extremely difficult for thispaper. However, we would expect section A questions to test core syllabus areasas listed above.
　　In Section B one of the questionsmay be entirely discussion based (but this is not guaranteed from June 2013),and often involves ethical issues and general financing issues (eg dividendpolicy).
　　Remember that this paper is not amaths exam – in all exam questions the examiner is as interested in yourability to communicate well and to give good management advice as he is in yournumerical ability.
　　Keep checking the ACCA websitefor articles written by the P4 examiner in the lead up to the exam, these areoften tested.
　　LSBF
　　International investmentappraisal using adjusted present values/net present values. Sensitivityanalysis and capital rationing.
　　Cost of capital using theprinciples of Modigliani and Miller prepositions or geared and ungeared betas.
　　Hedging exchange rate or interestrate risk using futures, options and swaps.
　　Mergers and acquisitions –valuation using free cash flows/P/E ratio method, cash offer or share exchangeand regulations of takeovers.
　　Capital reconstruction schemes –designing a capital reconstruction scheme or assessing the success of a givenscheme.
　　Option pricing theory. Realoptions, example, option to abandon, expand and delay. Valuation using theBlack-Schole option pricing model.