Milford Inc. has the following summarized financial statements ($000):

Income Statement

Income Statement

                                    Revenue……………………….. $25,720

                                    Cost/Expense…………………….16, 718

                                    EBIT……………………………. $9,002

                                    Interest (8%)……………………... 1,420

                                    EBT…………………………..... $ 7,582

                                    Tax (35%) ………………………. 2,654

                                    Net Income ………………….... $ 4,928

Balance Sheet

Milford's equity investors have typically demanded an expected return of at least 25% before they will buy the company's stock
Evaluate Milford's performance using both ROE and EVA® approaches. Comment on the impact each analysis is likely to have on investors?

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Assets Liabilities & Equity Current Assets S 8,132 Current Liabilities $6,075 Fixed Assets $30,060 Debt Equity Total Capital $17,382 14,735 $32,117 Total Assets $38,192 Total Liabilities& Equity $38,192