ARRForums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › ARRThis topic has 1 reply, 2 voices, and was last updated 8 years ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total) AuthorPosts December 1, 2015 at 5:16 pm #286791 LilitParticipantTopics: 34Replies: 62☆☆Hi John, The question isWe don’t take sunk costs when calculating Accounting rate of return, right???Thank you 🙂 December 1, 2015 at 5:56 pm #286798 John MoffatKeymasterTopics: 56Replies: 53816☆☆☆☆☆It really depends on the question.Sunk costs are only usually ignored when getting the cash flows for NPV calculations – then we certainly ignore them.For ARR we usually take into account all costs, but again it depends on the wording of the question.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In