The following income statements and other information are available for the Schneider Company.

Required
Calculate EVA for 2011. Assume that for purposes of calculating EVA, the company capitalizes research and development expenditures and amortizes them over three years, including the year they are incurred. For external reporting purposes, research and development is expensed in the year incurred, as indicated in the income statementsabove.

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2011 2010 2009 Sales Less cost of goods sold Gross margin Less: $250,000,000 $220,000,000 $189,000,000 91,000,000 98,000,000 105,000,000 145,000,000 96,000,000 124,000,000 Selling and administrative costs Research and development Income from operations Less taxes on income 25,000,000 15,600,000 104,400,000 31,320,000 73080000 22,500,000 12,400,000 89,100,000 26,730,000 62,370,000 49,525,000 17,800,000 9,450,000 70,750,000 21,225,000 Net income Total assets Noninterest-bearing current $650,000,000 $605,000,000 $401,000,000 liabilities 15,000,000 12,300,000 9,980,000 Cost of capital 10% 1096 10%