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if the relative asset is controlled by the division then controllable profit must be after deducting depreciation, if controlled by head office then before depriciation,interest and tax.
arhambajwa527: Please do not answer questions in this forum – it is Ask the Tutor, and you are not the tutor. (but please do help people in the other F5 forum 🙂 )
peshy: arhambajwa527’s answer is correct, except that divisions do not pay interest or tax, so whether the profit is taken before or after depreciation depends on whether it is an investment division (i.e. whether the divisional manager can make investment decisions) or not.
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