Rytvae Consulting · Think Right · Invest Right
Capital Employed Calculator
Result
Chart
Show formula & working
Capital employed = Total assets − Current liabilities
Cross-check: Capital employed = Net worth + Non-current liabilities
Details
How this works
Capital employed is the money tied up in the business for the long term, from owners and long-term lenders. It is the denominator of ROCE.
On a balanced balance sheet both routes give the same figure; a difference points to a classification or data-entry error.
Frequently asked questions
Should cash be excluded?
Some analysts exclude surplus cash to measure operating capital employed. Enter total assets less that cash if you want that view.
Average or closing?
For ROCE, average capital employed over the year is more accurate — the ROCE calculator does that.
Getting accounts ready for a lender?
How figures are classified changes the ratios lenders read. Talk to Rytvae before you submit.