Inputs
$
$
%
$
%
Tip: NOPAT = EBIT × (1 − tax rate). Economic Profit = NOPAT − (Invested Capital × WACC).
Scenario Analysis (Sliders)
Active: A — used for curves.
A
B
C
Adjust NOPAT, invested capital, or WACC and compare against baseline.
Baseline updates when you click Calculate. Scenario applies adjustments on top.
Results
NOPAT
$0
Invested Capital
$0
WACC
0%
Capital Charge (Capital × WACC)
$0
Economic Profit (NOPAT − Capital Charge)
$0
ROIC − WACC Spread: 0.00%
Graph
Scenario Comparison
EP vs WACC Curve
ROIC vs WACC Map
Example Data
Click Use to load a row into the calculator.
| Company | NOPAT ($) | Invested Capital ($) | WACC (%) | Economic Profit ($) | Action |
|---|
How to Use This Calculator
- Choose whether you will provide NOPAT directly or compute it from EBIT and a tax rate.
- Enter invested capital and the weighted average cost of capital (WACC) as a percent.
- Click Calculate to see NOPAT, capital charge, and economic profit.
- Review the charts to compare NOPAT, capital charge, and economic profit visually.
- Export your results: download the summary as CSV or a print‑ready PDF.
Formulas Used
- NOPAT = EBIT × (1 − Tax Rate)
- Capital Charge = Invested Capital × WACC
- Economic Profit = NOPAT − Capital Charge
- ROIC = NOPAT ÷ Invested Capital
- Spread = ROIC − WACC
FAQs
Economic profit measures value created after charging a business for the opportunity cost of capital: NOPAT minus the capital charge (invested capital times WACC).
Yes. Select “Compute NOPAT from EBIT and tax rate.” The tool multiplies EBIT by one minus the tax rate.
Use a forward‑looking, blended cost of capital consistent with the business’s risk, leverage, and target capital structure. Many teams reference internal finance estimates or valuation models.
Negative values indicate ROIC is below WACC, meaning capital employed is not covering its opportunity cost. Improving margins, asset turns, or capital efficiency can close the spread.
Yes. Use the CSV button for spreadsheets or the PDF button for a formatted snapshot of your inputs, results, and charts.