Calculate EVA (economic value added) Balance sheet Cash and short term investments 7000 Current liabilities 20000 Other current assets 10000 Long term debt 35000 Non current assets 62000 Total assets 79000 Equity 24000 Income statement Operating income 7000 Interest payment 500 Income before taxes ...

To calculate Economic Value Added EVA well use the formula EVA ...

Calculate EVA (economic value added) Balance sheet Cash and short-term investments 7000 Current liabilities 20000 Other current

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Calculate EVA (economic value added)

Balance sheet

Cash and short-term investments	7000	Current liabilities	20000
Other current assets	10000	Long-term debt	35000
Non-current assets	62000
Total assets	79000	Equity	24000

Income statement

Operating income		7000
Interest payment		500
Income before taxes		6500
Taxes		1300
Net income		5200

The company's WACC is 8%.

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Financial Reporting Financial Statement Analysis and Valuation

ISBN: 978-0324302950

6th edition

Authors: Clyde P. Stickney

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Posted Date: Oct 01, 2023 05:17 AM

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Calculate EVA (economic value added) Balance sheet Cash and short-term investments 7000 Current liabilities 20000 Other current

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Financial Reporting Financial Statement Analysis and Valuation

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