how to calculate ARR + payback
- Created by: hayley baskerville
- Created on: 28-08-12 16:17
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ARR
Step 1: revenues-costs
step 2: answer/ numberof years = AVERAGE PROFIT
step 3: start figure + end figure/ 2 = AVERAGE INVESTMENT
step 4: AVERAGE PROFIT/AVERAGE INVESTMENT X 100 = ARR
The higher the…
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