Return on capital employed

Edwin Whiting

Chapter 18 in A Guide to Business Performance Measurements, 1986, pp 214-231 from Palgrave Macmillan

Abstract: Abstract Return on capital employed (ROCE) is regarded by most businesses (excepting very small ones) as their key measure of total performance. It puts together profit and capital. More capital should give a capability to earn more profit. The ROCE ratio shows profitability: how profit produced stands up to the capital being used to generate it.

Keywords: Balance Sheet; Intangible Asset; Residual Income; Replacement Cost; Historic Cost (search for similar items in EconPapers)
Date: 1986
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DOI: 10.1007/978-1-349-07472-3_18

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