A company with several divisions has a cost of capital of 6%. An excerpt from Division B's accounting summary for the period is shown below: A company with several divisions has a cost of capital of 6%. An excerpt from Division B's accounting summary for the period is shown below: The value of closing Capital Employed is $525,000. * Taking total provision to $50,000 ** Replacement cost has been estimated at $700,000. If assets had been valued at replacement cost the depreciation charge would have been $70,000. 

Ignore taxation, what is the economic value added (EVA) of the investment Centre?

Answer rating: 100% (QA)

SOLUTION Division Bs capital employed assets liabilities is 5... View the full answer