PEV - Section 2 - Ratios

fedup

Morning....

Return on Capital Employed (ROCE)

Can I just double check the ratio is;

Operating Profit / Capital Employed (Equity + Long Term Loan) x 100

I've lost count at how many resits I have done, and its only 10.35am and I have a headache already...... oh the joys! :confused1:

Fedup
x

Hayman

hayman

Hi fed up

I remember the ratio as PBIT/Net Assets, especially for PEV if this is any help.

Good luck:001_smile:

lou123

I know how you feel - these ratios are driving me mad!

Return on Capital Employed (ROCE):

Profit before interest and tax (profit from operations) /
Capital Employed (capital and reserves plus long-term liabilites)

It shows the net profit as a % of total capital.

All the best, Lou:001_smile:

fedup

Thanks

BUT

What does PBIT stand for ??!!?!?!?

fedup

Thanks lou....

Hayman

PBIT Stands for Profit before interest and tax (operating profit)