- This topic has 1 reply, 2 voices, and was last updated 10 years ago by .
Viewing 2 posts - 1 through 2 (of 2 total)
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
OpenTuition recommends the new interactive BPP books for June 2024 exams, Get your discount code >>
Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA APM Exams › EVA Question Dec 2012 Q3 (B)
Hi, Looking for advice on past exam Q ….Q 3 Dec 2012….EVA question…can anyone explain why marking scheme uses closing (2012) capital employed figure( 779m) to calculate ROCE for part b of question…part on regulatory ROCE target.
For main EVA calculation we use closing figure from previous year, 2011 ( before we adjust it)………………
Thanks.
Maurice
779 has been used because it was stated in the question itself that Regulator calculates the ROCE for regulated activities on the basis of C.E measured by him for this purpose. (par 2 second last line)
In EVA we use opening C.E after making adjustments in it. This issue of C.E has been discussed by Grommit in EVA post, in this forum.You can read that for more clarification.