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Forums › CIMA Forums › Real terms value
I need assistance please regarding the below:
Revenue: 20×1(95 mil),20×2(99mil),20×3(104mil),20×4(107mil)
Inflation index: 20×1(100),20×2(102),20×3(103),20×4(105)
How much have the co revenue increased,in real terms between 20×2 and 20×4)
So, adjusting 20X2 revenue to 20X4 levels:
99 x 105/102 = 101.91
20X4/20X2 = 101.91/99 = 1.0294
Increase = 2.94%
