ARR

This topic has 3 replies, 2 voices, and was last updated 10 years ago by John Moffat.

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March 3, 2016 at 11:42 am #303233
rcc002
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DEar sir,if the question is silent about what method use in ARR calculation for i-e initial inv or avg,then what u recomend
March 3, 2016 at 4:30 pm #303269
John Moffat
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You would normally use the average, but it depends on the context of the question (and questions will not be ‘silent’ on what is required).
March 5, 2016 at 3:58 pm #303632
rcc002
Member
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Sorry to say,In opentution mcq quiz question is silent and in review they use avg investment
March 5, 2016 at 5:44 pm #303655
John Moffat
Keymaster
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As I wrote before, you would normally use the average!
(Our MCQ question is taken from a past exam and is a ‘real’ exam question.)
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