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According to some research findings, the operating profit margin may be significantly low. Do you think that the return on capital employed will necessary will

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  1. According to some research findings, the operating profit margin may be significantly low. Do you think that the return on capital employed will necessary will be also law? Give your explanation. (3 marks)
Question 2. In its financial information ELKOS reported the following key financial figures and ratios for the years ended in 2010 and 2009. 2010 2009 Group revenue ( m) (excluding VAT) 56,910 53,898 Group operating profit (fm) 3,412 3,086 Group profit before tax (fm) 3,176 2,917 Return on capital employed (ROCE) 12.10% 12.80% Underlying earnings per share (cent) 31.66 28.87 Dividend per share (cent) 13.05 11.96 Required

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