Calculating Economic Value Added East Mullett Manufacturing earned operating income last year as shown in the...

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Calculating Economic Value Added East Mullett Manufacturing earned operating income last year as shown in the following incom

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Answer 1

Answer #1

Answer:$14080

Economic Value Added (EVA ) = Net Income - ( Cost of Capital x Capital Employed)

= 45360 - ( 0.08 x 391000 )

= 45360 - 31280

= 14080

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Answer 2

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