Hi, I have been reading through old forum discussions and tried to find final answers elsewhere as well, but I seam to find conflicting answers. We come across these definitions in various formulas, ROIC, ROCE, EVA and I wondered if anyone has clear definitions of them. And how we can find the required information, also if there are multiple ways to find the information that I should be aware of. My understanding is in the () below.
- Invested Capital (Same as NOA. NOA = (Tot A - Cash) - (Tot L - Debt)
- Is this correct? If it is, do we include all Debt?
- Are there any other ways to define this?
- Capital Employed (MvEquity + MvDebt)
- Is this correct? If it is does it include preferred equity and is there any part of Debt I should not include?
- Are there any other ways to define this?
- Total Capital
- I am not sure about the definition here. Any differences from Capital Employed?
Thank you for your help.