Ratio analysis

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June 5, 2018 at 5:40 pm #456560

Anonymous
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What happen to the return on capital employed and gearing ratio when assets are revalued ?

June 5, 2018 at 6:51 pm #456594

MikeLittle
Keymaster

Net assets increase by the amount of the revaluation …

… but so too does the capital employed figure (because the revaluation reserve is part of capital employed)

OK?
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