Question: The anal statements reflect storical data, but manager performance must be on the best values. To provide this information, Inancial analysts have developed two measures

 The anal statements reflect storical data, but manager performance must be
on the best values. To provide this information, Inancial analysts have developed
two measures Mal Value Added (MA) and Economic Value Added (VA) Market
value Added represents the difference between the money stockholders how to in

The anal statements reflect storical data, but manager performance must be on the best values. To provide this information, Inancial analysts have developed two measures Mal Value Added (MA) and Economic Value Added (VA) Market value Added represents the difference between the money stockholders how to in the form the cash they could receive if the firm were sold. The equation for MVALE HVA-Share outstanding out common Shareholder wealth is manamited when this differences The Get the better the job management is doing hur its shareholders Economic Value Added sometimes called me vodity and to the content EVA-FITT) - Total invested capital Arter-tax percentage cost of capital Note that total invested capitais ou to the sum of notes peable long term det, and a connect differs from Grey SEVA deduction for the cost of equity Positive EVA on an annut uses hele ensure that MVA is an end towels for the whole to its for establishing reasonable compensation for division managers as well as top company officers Quantitative Problem Roran Industrier 2019 and 2018 bane head comes Balance Sheets 2019 2018 Assets Cash and equivalents $100 55 Accounts receivable 275 300 Teventos 375 250 Tot current 1750 5635 Net plant and ment 2.300 52.125 Les and Equity Accounts payable 5150 595 Accu 75 50 Notes payable 150 Total current 075 210 Long-term dett 450 Total | 125 500 Common la 1,225 1225 Retained aninge 1,000 400 Comment 1.625 Totalt and 050 12.123 1.10 100 75 Income Statements: Sales Operating costs dine depreciation BITDA Depreciation and mortation OTT Interest 2019 12285 1,250 $1.035 100 $935 2010 53.585 3.000 SSES 75 5510 46 5454 $872 210 5654 income $548 Dividende Action to retained wings 1600 148 $300 Share outstanding Price WACC 110 110 525.00 10.00 Using the financial statements about what's 2015 werd your answer to the newest ant 3 ung the ancial statements mesos 2015.com domain your answer to the nearest cens Ch 0eprint Problems Financial Statements, Cash Flow, and Taxes Therandweerfectadata, but managers performance must be evaluated on the basis of ves. To provide this information, financial analysts have developed two measures Market Value Added (VA) and Economie Value Added (OVA) Marble Added represents the ofference between the money stockholders have invested in the fire versus the cash they could receive in the firm were sold. The equation for MVA MVA - (Share outstanding Sock price) - Total com equity Daher we when there is The City MVA, the better the job management is doing for its shareholders Economic Value Added is sometimes called y, and it is only related to MVA. The equation for EVA EVA-TI-T)Meted certa percentage cost of capital Note tulistadas equal to the sum of long-term and total common equity. IVA inters from because IVA has a deduction for the cost of equity. Positive EVA e an annual basis sure that can be determined for dis as well as for the firm whale soul foresting able compensation for divi snagers as well as top company Quantitative Problem Rand 2019 and 2010 bene cheets and income statements are shown below Balance Sheet 2019 2018 Chand Receive 1100 275 375 care that want andet 3150 15 300 250 3535 1.49 125 2.300 $3,050 band Acon 5150 75 585 SO 1375 450 25 5210 290 00 1.225 400 1625 2.225 Quantitative Problem: Rosnan Industries' 2019 and 2018 balance sheets and incom Balance Sheets: 2019 2018 Assets Cash and equivalents $100 $85 Accounts receivable 275 300 Inventories 375 250 Total current assets $750 $635 Net plant and equipment 2,300 1,490 Total assets $3,050 $2.125 Llabities and Equity Accounts payable $150 $85 Accruals 75 50 Notes payable 150 75 Total current abilities $375 $210 Long-term debt 450 290 Total liabilities 825 500 Common stock 1,225 1,225 Retained earnings 400 Common equity 2,225 1,625 Total liabilities and equity $3,050 $2,125 1,000 Income Statements: 2018 Sales Operating costs excluding depreciation 2019 $2,285 1.250 $1,035 100 $935 63 5872 218 $654 $1,585 1,000 $585 25 $510 EBITDA Depreciation and amortization ERIT Interest EET Tawes (259) Net income 46 $464 116 $348 Dividends paid Addition to retained earnings $54 5600 548 $300 Shares outstanding Price WACC 110 $25.00 10.00 110 122.50 Using the financial statements above, what is Rosa's 2019 market value added (HVA)? Don $ Using the financial statements given are what is Ron's 2019 economic value added (EVA ULO $1,585 1,000 $585 75 Sales Operating costs excluding depreciation EBITDA Depreciation and amortization EBIT Interest EST Taxes (259) Net Income $2,285 1,250 $1,035 100 $935 63 $872 218 $654 $510 46 $464 116 $348 Dividends paid Addition to retained earnings $54 $600 $40 $300 110 Shares outstanding Price WACC 110 $25,00 10.00% $22.50 Using the financial statements above, what is Reunan's 2019 market value added (MVA)? Do not round Intermediate calculations. Round your answer to the nearest cent. Using the financial statements given earlier what is Roman's 2019 economic value added (EVA)? Do not round Intermediate calculations. Round your answer to the nearest cent. $

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