Question: a. What would happen to Air Canada's economic value added its cost of equity were 8% rather than the 6.7% value we assumed? b. Would
a. What would happen to Air Canada's economic value added its cost of equity were 8% rather than the 6.7% value we assumed?
b. Would this have any impact on its accounting profits?
c. Which do you think is a better measure of the firm's performance?
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