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Return on capital employed

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Return on capital employed

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by MikeLittle.
Viewing 2 posts - 1 through 2 (of 2 total)
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  • February 17, 2017 at 2:38 pm #372877
    Anuja Nair
    Member
    • Topics: 365
    • Replies: 353
    • ☆☆☆☆

    Hi sir, a decrease in return on capital employed from prior year will actually have no impact on improving profit in the current year right ?

    February 17, 2017 at 4:02 pm #372885
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    That really doesn’t make any sense, does it!

    What you are comparing is a statistic from this year that shows a worsening position when compared with the equivalent statistic from last year

    There is no ’cause and effect’ element about it – it’s simply cold facts … this year compared with last year

    OK?

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  • The topic ‘Return on capital employed’ is closed to new replies.

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