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Return on Capital Employed (ROCE)Return on Capital Employed (ROCE) ratio, measures the profitability of a company by the pre-tax profit achieved on a company's capital employed. The capital employed is taken to be the net operating assets (i.e. fixed assets plus net working capital).
Return on Capital Employed is calculated as follows and expressed as a percentage:
= [pre-tax profit / average (total assets - creditors short)] * 100
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