Waste Management, a solid waste collection, processing and conversion company, operates in many regional and local markets. Their signature niche is not just garbage collection, but significant recycling services and landfill ownership that provide a barrier to competition. Given the following Income Statement, Balance Sheet and additional information, calculate $-EVA and %-EVA. What does the level of %-EVA suggest about the market model best applied to Waste Management? Why?

(in $millions)			(in $millions)
Cash	61		Sales	14,914
A/R	2,275		COGS	7,994
Inventories	102		Depreciation	1,477
Other Current Assets	207		GROSS INCOME	5,443
CURRENT ASSETS - TOTAL	2,645		SG&A	2,708
PP&E - Net	11,942		EBIT	2,735
Other Assets	8,063		Interest Expense	318
TOTAL ASSETS	22,650		EBT	2,417
			Taxes	504
A/P	1,037		Net Income	1,913
Curr Portion of LTD	432		Tax Rate	20.9%
Other Current Liabs	1,639
CURRENT LIABILITIES	3,108
Long Term Debt	9,594
Deferred Taxes	1,291
Other Liabilities	2,381
TOTAL LIABILITIES	16,374
Common Stock	6
Capital Surplus	4,992
Retained Earnings	1,278
COMMON EQUITY	6,276
TOTAL LIABILITIES & SHAREHOLDERS EQUITY	22,650
Shares Outstanding (millions)	424
Stock Price	$ 91.72
Cost of Equity	7.40%
Cost of Debt	4.79%