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Invested Capital

   Also found in: Legal, Acronyms, Wikipedia 0.01 sec.
Invested Capital
The capital that a company has invested or can invest in itself. It is calculated by adding the company's long-term debt, stock, and retained earnings. It may also apply to an individual by adding his/her net worth and long-term debt.

invested capital
An investment measure calculated by adding an investor's net worth and long-term liabilities.


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Invested capital is the inflation-adjusted total of all of the investments in the business.
2% average return on invested capital over the last three years.
CREATING SHAREHOLDER VALUE Value creation relies on two critical components: (1) revenue growth and (2) return on invested capital ("ROIC") in excess of the cost of capital.
 
 
 
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