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Ken Garrett.
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yahweh
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Hello,
Question: June 2017 DS 1(ii)
Assumptions underlying the current KPI calculations:
How did the examiner calculate the loss of $39m for the catering business and for the Organic growth from 7.2% to 3.9%?
Am unable to get the figures of $39m and 3.9%.
Kindly help.
Thank you.
Ken Garrett
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Loss = 245 (revenue, note 6) x 6.5% (op profit margin) – 55 = -39
Total organic growth as stated = 7.2%
Growth = (Rev 2016 – Rev 2015)/Rev 2015 = 0.072
= (1542 – Rev 2015)/Rev 2015So, Rev 2015 = 1542/1.072 = 1438.
Without the acquisitions, Rev 2016 would be 1542 – 48 = 1494.
That would give growth of (1494 – 1438)/1438 – 3.9%
yahweh
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