Business 9609 · AS & A Level · Location and scale

Location and scale — practice question

(a)[3]

Using Table 3, Calculate the accounting rate of return (ARR) for the enterprise resource planning (ERP) investment.

(b)[6]

Using Table 4, Calculate, for 2022, the:

  • inventory turnover ratio [3]
  • days’ sales in receivables ratio [3]
(c)[12]

You may use your responses to 4(a) and 4(b), together with other information. Evaluate the benefits to APF of investing in enterprise resource planning (ERP).

Worked solution & mark scheme

This 21-mark question has a full step-by-step worked solution and mark scheme. One marking point: ARR of 19%.

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