how to work the adjusted sales

sales net profit RPI
YEAR 1 800 120 155
YEAR 2 890 130 163
HOW TO WORK ADJUSTED SALES AND ADJUSTED NET PROFIT. THANKS

Comments

  • mikes
    mikes Registered Posts: 254
    Thinking from the top of my head, i believe that you need to know the RPI for year three and divide that by year 1 and times it by the sales/net profit to get the increase. I don't have my books with me at the moment to confirm this. I can have a look and get back to you tomorrow, it thats ok.

    If there is anyone else reading this, and knows the answer better than me, then by all means reply and don't wait for me.
  • mikes
    mikes Registered Posts: 254
    After looking at my books, i remembered that you are doing the work skills unit. For this, they mention that they want to show what the figures should be after being adjusted for RPI, so that camparisons can be made in different years. The calculation is that you take the sales/net profit figure for year 2 and multiply it by the RPI for year 1 and divide by Year 2 RPI. For year 1, the figures are at 100%, so you do not need to adjust for them.

    My previous reply was taken from the CMCC unit, where the figures are used to caluclate the budgeted forcast increase, for future trends.

    My apologies for any confusion caused. I have to admit i was as well when reading two different points in different books, still am a bit.
  • meibaker
    meibaker Registered Posts: 481
    cool, that will be great. thanks
  • meibaker
    meibaker Registered Posts: 481
    the figure is different to the answers,
    890 x 155 / 163= 846, aswers for sales adjust is year 1 975, year 2 1032
  • meibaker
    meibaker Registered Posts: 481
    hi, you are right, i didn't read the question properly.many thanks
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