Ch 02: Assignment - Financial Statements, Cash Flow, and Taxes Which performance measure evaluates to what extent managers perform their primary task--that is, to create shareholder wealth? Economic value added Market value added Consider the following case: Last year, Jackson Tires reported net sales of $60 million and total operating costs (including depreciation) of $39 million. It had $95 million of investor-supplied capital, with an after-tax cost of 7.5%. If the company's tax rate is 25%, how much value did its management create or lose for Jackson Tire during the year? $8.625 million $1.509 million $37.875 million 564.125 million EVA calculates the value addo NO r m in a given year. Does that mean that a firm's MVA is the sum of all the EVA generated by the firm during its d the terms MVA and EVA. Other firms use different terms for these concepts, but MVA and EVA are most commonly used in practice.)