Calculating Economic Value Added East Mullett Manufacturing earned operating income last year as shown in the following income statement: Sales Cost of goods sold $630,000 380,000 $250,000 174,400 $75,600 30,240 45,360 Total capital employed equaled $400,000. East Mullett's actual cost of capital is 8 percent. Gross margin Selling and administrative expense Operating income Less: Income taxes (@ 40%) Net income Required: Calculate the EVA for East Mullett Manufacturing