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osmanaslam

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Active 11 years ago
  • Topics: 1
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Viewing 2 posts - 1 through 2 (of 2 total)
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  • May 16, 2012 at 2:30 pm #95396
    mysteryosmanaslam
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    • Topics: 1
    • Replies: 2
    • ☆

    @Sir John Moffat The average rate of returm is:

    Average profits/ Average investment. . . where average investment is the. . .opening investment + scrap value/ 2

    However in the the kaplan exam kit ‘q19 armcliff co’ the average capital employed has been calculated by adding the book values of the asset over its life of 4 years and then dividing by 4.

    This has really confused me and i would appreciate it if you could explain this to me

    Thankyou

    May 16, 2012 at 2:30 pm #95395
    mysteryosmanaslam
    Member
    • Topics: 1
    • Replies: 2
    • ☆

    @Sir John Moffat The average rate of returm is:

    Average profits/ Average investment. . . where average investment is the. . .opening investment + scrap value/ 2

    However in the the kaplan exam kit ‘q19 armcliff co’ the average capital employed has been calculated by adding the book values of the asset over its life of 4 years and then dividing by 4.

    This has really confused me and i would appreciate it if you could explain this to me

    Thankyou

  • Author
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Viewing 2 posts - 1 through 2 (of 2 total)

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