Total Invested Capital is a way to calculate how much money a company has raised by issuing securities, which is the sum of the company’s equity, debt, and capital lease obligations. It shows how much capital a company has available to invest in its business operations or growth opportunities. It can also be used to measure a company’s return on invested capital (ROIC), which compares the operating profit of a company to the cost of retaining the capital invested. The formula for Total Invested Capital is:
Total Invested Capital = Total Debt + Total Equity + Allowance For Doubtful Accounts + Net Deferred Tax Liabilities + Accrued Taxes
Where:
- Total Debt is R0036,
short_and_long_term_debt
- Total Equity is BS072,
bs_total_equity
- Allowance For Doubtful Accounts is BS077,
bs_allow_doubtful_acc_rec
- Net Deferred Tax Liabilities is BS076,
bs_def_tax_liab
- Accrued Taxes is BS039,
bs_taxes_payable