ROCE Formula - image

ROCE Formula | Two Components | EBIT | Capital Employed

ROCE (Return on Capital Employed) is a financial ratio. ROCE formula has two components, EBIT and Capital Employed. EBIT represents the profit, and Capital Employed represents the funds used to generate the profit. The ratio between EBIT and Capital Employed shows how much profit is being generated for every Rupee of the employed capital.  The…