Accountancy, asked by thanushreebhat14, 5 months ago

closing capital employed is 6,00,000. net profit for the
Current year Is 120000 what is the average capital employed​

Answers

Answered by bhumi9794
1

Answer:

The formula for the ratio uses EBIT in the numerator and divides that by average total assets less average current liabilities. Fundamental analysts and investors like to use the ROACE metrics since it compares the company's profitability to the total investments made in new capital.

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