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In the answer for questions 334 c it says that ROI using the old method using the net profit, as far as I understood the net profit is used as the ‘new method’ whereby the ‘old method’ used the controllable profits
For questions 334 d
since its asking the revised ROI and RI does this mean with the new method or old method?thanks in advance
but the answer shows that ‘ROI using the old method’ quotes the net profit whereby net profit is used for the new method
Sorry, I misread your question and was looking at the wrong part.
Part (c) is asking you to discuss and is therefore looking at both old and new. As you can see from the examiners marking scheme, only 1 mark was for the extra calculation – the other 5 marks are all for discussion.
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