Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. Explain about Residual income?
Residual income is profit earned by a division less a "notional interest charge" for investment of finance within it.
£
Profit before interest and tax (PBIT) X
Capital employed x head office % interest charge (X)
Residual income X
Residual income uses the same profit before interest and tax and capital employed value as the ROCE measure. Residual income is an absolute measure which deducts from profit before tax andinterest, an imputed "notional" interest charge using a cost of capital or return required. The more capital employed the division consumes then the lower the residual income due to a higher absolute interest charge. In effect residual income forces managers to understand the cost of finance when undertaking investment decisions.
Write policy guidelines for Heads of Departments on: Cash Flow and Capital Investment Stock Control and Depreciation.
Question: (a) Define the term ‘Maintenance'. How does it differ from strategic maintenance? Explain, briefly, the meaning of Maintenance Mix and state how it can be develope
Strategy formulation presupposes a set of goals and objectives. Why aren’t goals and objectives obvious? What characteristics of people and organizations can make setting goals and
Q. Aim of a transfer pricing system? Aim of a transfer pricing system could be tax avoidance Different countries have varying tax rates. A multi-national company can set up su
Q. Show the Merits of residual income? Merits of residual income (RI) - Consistent or goal congruence with profit maximisation e.g. an enforced measure of profitability.
Critically evaluate the future plans of AEL
propose a framework of organisational values that meet the specific strategic and operational needs of an organisation
1. Identify and discuss strategic capabilities (resources and competences) of the chosen company using appropriate strategy tools and identify strengths and weaknesses for the firm
targeting strtegics with live examples
Why does the demand curve slope down? Bridgette has an income of $480 which she uses to purchase only two goods: CDs and mystery novels. The price of a CD, P CD is $10, and t
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd