Which of the following measures of performance is, in part, based on the weighted-average cost of...
Which of the following measures of performance is, in part, based on the weighted-average cost of capital? Please explain the answer.
Capital turnover.
Return on investment.
Economic value added (EVA).
Book value.
Homework Answers
Option C
Economic value added (EVA)
Capital turnover = Sales/Invested assets
Return on investment = Operating income / Average operating assets
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