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Consider a company with two divisions, A and B. Both divisions have the same cost of capital, 13%. The EVAs of the two divisions are

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Consider a company with two divisions, A and B. Both divisions have the same cost of capital, 13%. The EVAs of the two divisions are calculated as follows: Division A Division B Net Operating Profit After Tax (NOPAT) $300 $100 EVA $40 $35 Which division creates more value? O a. Division A O b. Division B O c. Not enough information to decide

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