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Greetings of the day John,
We have sold nbv of assets of 3790, in the forecast EPS why are we not calculating interest lost on non current assets of 12% x 3790 x 80%
In the forecast profit they have removed the 454 profit on the non-current assets sold. (I don’t know what you mean by ‘interest lost’.)
if we bring additional assets we are getting a return of 12% on them right? so if we sell the assets of 3790 arent we losing that 12% return
Not at all.
We are getting a return on the new assets of 12% because the question says so.
As far as selling the assets are concerned, given that it is EV Clubs that is being sold then what they lose is the forecast profits from EV Clubs.
ohh sorry i got confused with another question where they wrote theyll lose coupon interest if investment reduces, my apologies.
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