Capital employed: Difference between revisions

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An accounting measure of the total value of resources available to management for use in the business.
An accounting measure of the total value of resources available to management for use in the business.
In simple terms, it is defined as:
Equity + Debt
''or''
Equity + Non-current liabilities
The detailed definition can vary in different contexts.
For this reason it is important to be clear about it, and to state it expressly.




== See also ==
== See also ==
* [[Capital ]]
* [[Capital market]]
* [[Capital market]]
* [[Capital structure]]
* [[Debt]]
* [[Equity]]
* [[Non-current liabilities]]
* [[Return on capital employed]]
* [[Return on capital employed]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]
[[Category:Corporate_finance]]
[[Category:Intercompany_funding]]
[[Category:Investment]]
[[Category:Long_term_funding]]
[[Category:Financial_products_and_markets]]

Latest revision as of 13:22, 28 April 2022

An accounting measure of the total value of resources available to management for use in the business.


In simple terms, it is defined as:

Equity + Debt

or

Equity + Non-current liabilities


The detailed definition can vary in different contexts.

For this reason it is important to be clear about it, and to state it expressly.


See also