Account p2! im sure the mark scheme is wrong here

[Sijan92]

The formula for net assets is = Fixed assets + current assets - current liabilites - long term liabilities right? Then why November 02 Paper 2 Question 2 (b) (viii) excluded long term liability in the calculation of net assets?

 

[sarzkhan]

The formula is for net assets is total assets minus current liabilities
fixed plus current assets minus total liabilities is capital

 

[Sijan92]

Nope, t think you r wrong.. That's capital employed. Net assets is Total assets minus total liabilities

 

[Sijan92]

http://www.investorwords.com/3235/net_assets.html see this

 

[Moiz]

yes sijan u are rite... the marking scheme for this questions seems wrong to me

 

[Sijan92]

Yeap. Same here mate

 

[memyself]

Yeah, net assets are all assets less all liabilities. And this isnt the only instance where the mark scheme showed an error :/