Question
Economic value added is a measure of how well a profit center is performing. is after-tax operating income less the total annual cost of capital.
Economic value added
is a measure of how well a profit center is performing.
is after-tax operating income less the total annual cost of capital.
is too subjective to apply to any of the company's investment centers.
is not affected by the weighted average cost of capital.
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Managerial Accounting Tools for Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
8th edition
ISBN: 978-1-119-3904, 1119392422, 111939242X, 1119390451, 978-1119392422
