Explain significance and give example of their calculation, Financial Accounting

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Explain significance and give example of their calculation

Problem

Identify two ratios that have been disclosed in the companies Vodafone and BT Group annual report.

Explain their significance and give an example of their calculation.

Demonstrate how the calculation can be verified by reference to raw data.

If one company has included a ratio in their annual report and the other company has not, you can include this ratio in your analysis.

For example, if Company A discloses a gearing/leverage ratio, but company B does not, it might be appropriate to use Company A's formula to compute Company B's gearing/leverage.

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Financial Accounting: Explain significance and give example of their calculation

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Financial Accounting: Explain significance and give example of their calculation

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