6. Many companies hold significant amounts of excess cash, or cash above the amount required for day-to-day

Question:

6. Many companies hold significant amounts of excess cash, or cash above the amount required for day-to-day operations. What would happen to the ROIC for HealthCo if you included excess cash in its calculation? Why should one exclude excess cash from the calculation?

Fantastic news! We've Found the answer you've been seeking!