Net Invested Capital definition
Examples of Net Invested Capital in a sentence
Net Invested Capital is defined as total shareholders’ equity (excluding accumulated other comprehensive income) plus total external long and short-term debt (excluding non-recourse debt) minus cash, current and non-current marketable securities in excess of US $1.0 billion.
ROIC is calculated based on the average Net Invested Capital reported for the previous five quarters.
ROIC is calculated by dividing full year corporate net earnings attributable to Fluor Corporation from continuing operations (excluding after-tax net interest) by Net Invested Capital.
Notwithstanding --------------------------------------------- Sections 7.1 and 7.2 of this Agreement, the Limited Expenses required to be paid by the Company shall be limited to an aggregate amount per year equal to the greater of (i) 2% of the Average Net Invested Capital of the Company and (ii) 25% of its Net Income for that year.
Shall mean an eleven percent (11%) annual return on the average daily balance of Net Invested Capital.