Return On Risk-Adjusted Capital (RORAC)

Return On Risk-Adjusted Capital (RORAC) is a rate of return, whereby riskier projects and investments are evaluated based on the capital at risk.

Return On Risk-Adjusted Capital (RORAC)

Return On Risk-Adjusted Capital (RORAC) is a rate of return used in financial analysis. 

 


Application of Return On Risk-Adjusted Capital (RORAC)

Return On Risk-Adjusted Capital (RORAC) is a rate of return, whereby riskier projects and investments are evaluated based on the capital at risk. RORAC makes it easier to compare and contrast projects with different risk profiles.


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