1. 

   studentmb Member

   Can you clarify what is included in the operating ratio?
   
   Cue card number 10 implies it is just expense ratio + claim ratio. (i.e ignores commission)
   
   But Sept09Q2 says no marks will be given for the operating ratio unless commissions are included

    

   studentmb, Apr 10, 2012

   #1
2. 

   Katherine Young ActEd Tutor Staff Member

   Hi studentmb,
   
   The expense ratio should include commision, so the operating ratio would include commission too.
   
   This is discussed on page 12 of Chapter 25.
   
   Kind regards,
   
   Katherine.

    

   Katherine Young, Apr 11, 2012

   #2
3. 

   studentmb Member

   Thanks for clarifying, maybe this could this be added to the cue cards so it's explicit.....

    

   studentmb, Apr 11, 2012

   #3
4. 

   Katherine Young ActEd Tutor Staff Member

   Good idea studentmb, I'll make a note of it!

    

   Katherine Young, Apr 11, 2012

   #4

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