I am doing some practice exam questions and one of them is 'The capital of a sole trader would change as a result of' and the answer is 'wages being paid in cash'.  I don't get this!  can someone help?

 

The European Commission has launched a public consultation on further possible changes to the Capital Requirements Directive (CRD) aimed at strengthening the resilience of the banking sector and the financial system as a whole.

I saw some different formula of capital employed, such as: share capital+RE, total assets-CL. how to understand these and what to apply in exam case?

As to ROI and return to shareholders, operational management CE and equity capital employed are mentioned in calucation. Are they the same?