Capital Efficiency

Economic Value Added (EVA)
Economic Value Added (EVA) is a financial performance measure that calculates the value created beyond the required return on the company's capital. It is an indicator of reflecting a company's ability to generate profit while taking into account the opportunity cost of capital employed.
Return on Capital Employed (ROCE)
Return on Capital Employed (ROCE) is a financial ratio that measures a company's profitability and the efficiency with which its capital is employed.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.