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Monday, June 13, 2011

Re: ::: vuaskari.com ::: Re: {VU Finance} formula require

You are replying different answers to different students for same queries see example below for query regarding return on operating assets u replied my friend different answer n to me different in one reply u said consider Net Income and in 2nd reply u said consider EBIT now what is correct?

MY FRIEND QUERY REPLY:
Dear Student:
 
 

Net Income / Operating Assets is the correct formula.
 
 
 
 

Kind Regards,

Instructor

FINI619


MY OWN SAME QUERY REPLY:

Subject: Help in Return on Operating Assets Ratio

 Kindly tell me in Return on Operating Assets Ratio we will take which formula as different websites says Net Income/ Operating assets and in books it is like this Earnings before Income Tax (EBIT) / Operating Assets

now please clearly mention what is correct formula for return on operating assets

and also we will calculate it in %age right?

Shall be very thankful to u


Instructor's Reply:
Dear Student,
Consider Earnings before interest and taxes for the calculation of this ratio.
Yes, it is calculated in %.

Dear Student:
 
 
Their are different explanations in different books of different ratio. However after in depth analysis we have come to the conclusion that for all return ratios apart from return on equity you will have to take either operating profit or profit before taxation in the numerator
 
 
 
 

Kind Regards,

Instructor

FINI619







On Mon, Jun 13, 2011 at 2:07 PM, MAHA SHAH <maha.shah.askari@gmail.com> wrote:
ajeeb baat ha mje teacher ne ye reply kia ha ab ya tu VU k ye mails walay teacher ka ek deen imaan ni ya ye hmain bewakoof bnatay hn :(

Subject: Help in Return on Operating Assets Ratio

 Kindly tell me in Return on Operating Assets Ratio we will take which formula as different websites says Net Income/ Operating assets and in books it is like this Earnings before Income Tax (EBIT) / Operating Assets

now please clearly mention what is correct formula for return on operating assets

and also we will calculate it in %age right?

Shall be very thankful to u


Instructor's Reply:
Dear Student,
Consider Earnings before interest and taxes for the calculation of this ratio.
Yes, it is calculated in %.





On Mon, Jun 13, 2011 at 1:58 PM, MAHA SHAH <maha.shah.askari@gmail.com> wrote:
RETURN ON OPERATING ASSETS KA?





On Mon, Jun 13, 2011 at 11:46 AM, MUHAMMAD SARIM <sarim.sarwar@gmail.com> wrote:
Dear Student:
 
 

Net Income / Operating Assets is the correct formula.
 
 
 
 

Kind Regards,

Instructor

FINI619


On Mon, Jun 13, 2011 at 11:37 AM, MUHAMMAD SARIM <sarim.sarwar@gmail.com> wrote:

• Return on Operating Assets

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REGARDS

MAHA SHAH

MBA(FINANCE) 4th SEMESTER

ADMIN GIRLS

We are the ASKARIANS!!!! A Name of Quality






--

REGARDS

MAHA SHAH

MBA(FINANCE) 4th SEMESTER

ADMIN GIRLS

We are the ASKARIANS!!!! A Name of Quality






--

REGARDS

MAHA SHAH

MBA(FINANCE) 4th SEMESTER

ADMIN GIRLS

We are the ASKARIANS!!!! A Name of Quality



--
We say, "Be one as Pakistani Nation and grow up for Pakistan's Future". Wish you all the best. Join www.vuaskari.com,
To post to this group, send email to vuaskari_com@googlegroups.com
Visit these groups:
This (Main) Group:http://groups.google.com/group/vuaskari_com?hl=en?hl=en
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