Return on invested capital

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Return on invested capital (also known by its acronym, ROIC) is net operating profit after taxes divided by the operating capital.


Definitions

According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),

Return on invested capital (ROIC). Net operating profit after taxes divided by the operating capital.

According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),

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