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Fact 1: The faster companies can grow their revenues and deploy more capital at attractive rates of return, the more value they create. The combination
Fact 1:The faster companies can grow their revenues and deploy more capital at attractive rates of return, the more value they create. The combination of growth and return on invested capital (ROIC) drives value and value creation.
Question 1: Comprehensively explain, using numerical examples, why companies create value by investing capital, from investors, to generate future cash flow at rate of return exceeding the cost of capital.
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