Question: Answer in Excel: Using the income statement and balance sheet examples provided in the chapter, calculate the return on capital in 2013. ROC = operating
Answer in Excel: Using the income statement and balance sheet examples provided in the chapter, calculate the return on capital in 2013.
- ROC = operating margin x asset turnover
- ROC = (total operating revenue - operating expensestotal operating revenue) x (total revenuestotal assets)
- ROC = (1,930,620,200-830,220,2001,930,620,200) x (1,953,821,2002,800)
- ROC = .56 x 697,793.286
- ROC = 390,764.24
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