{"id":3239,"date":"2025-05-12T08:57:28","date_gmt":"2025-05-12T06:57:28","guid":{"rendered":"https:\/\/pro-visions.anvetogroup.com\/return-on-capital-employed\/"},"modified":"2025-07-15T14:24:24","modified_gmt":"2025-07-15T12:24:24","slug":"return-on-capital-employed","status":"publish","type":"page","link":"https:\/\/pro-visions.eu\/en\/return-on-capital-employed\/","title":{"rendered":"Return on Capital Employed"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"alignright size-full is-resized\"><a href=\"https:\/\/e.pcloud.link\/publink\/show?code=XZ9fclZwR0lQV4xSJJhlDcXC9LyykGeIiMk\" target=\"_blank\" rel=\" noreferrer noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"360\" height=\"360\" src=\"https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview.png\" alt=\"\" class=\"wp-image-2359\" style=\"width:150px\" srcset=\"https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview.png 360w, https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview-300x300.png 300w, https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview-150x150.png 150w\" sizes=\"auto, (max-width: 360px) 100vw, 360px\" \/><\/a><\/figure>\n<\/div>\n<ul class=\"wp-block-list\">\n<li>Return on Capital Employed = Earnings Before Taxes (EBT) \/ Capital Employed<\/li>\n\n\n\n<li>Capital Employed = Total Assets \u2013 Total Current Liabilities<\/li>\n\n\n\n<li>It shows how efficient a business is by calculating its own capital + long-term loans.<\/li>\n\n\n\n<li>It is a good indication of a business&#8217;s ability to make profits, the way its management<\/li>\n\n\n\n<li>uses both its own and external long-term capital and generally the results it<\/li>\n\n\n\n<li>achieves.<\/li>\n\n\n\n<li>Training Ratios<\/li>\n<\/ul>\n\n<p class=\"wp-block-paragraph\"><br \/><strong>Business actions to improve the Ratio<\/strong><\/p>\n\n<ol class=\"wp-block-list\">\n<li>Increase in Profit Before Tax<\/li>\n\n\n\n<li>Reduction in Total Assets = Sale of Dead Stocks below Cost, (reduction in stocks with a smaller increase in Receivables or Cash) Sale of useless Fixed Assets below Depreciation (reduction in Fixed Assets with a smaller increase in Receivables or Cash) (Receivables and Cash are communicating vessels)<\/li>\n\n\n\n<li>Increase in Fixed Assets = Investments with Long-term borrowing<\/li>\n\n\n\n<li>Increase in Short-term Liabilities = with greater credit from Suppliers<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"<p>Business actions to improve the Ratio<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"inline_featured_image":false,"footnotes":""},"class_list":["post-3239","page","type-page","status-publish"],"_links":{"self":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3239","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/comments?post=3239"}],"version-history":[{"count":2,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3239\/revisions"}],"predecessor-version":[{"id":3241,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3239\/revisions\/3241"}],"wp:attachment":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/media?parent=3239"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}