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Economic Value Added Washington Company has two divisions: the Adams Division and the Jefferson Division. The following information pertains to last year's results: Adams Division

Economic Value Added

Washington Company has two divisions: the Adams Division and the Jefferson Division. The following information pertains to last year's results:

Adams Division Jefferson Division Net ( after - tax ) income $ 629, 200 $343, 350 Total capital employed 4 , 200 , 000 3 , 802 , 500 Washington's actual cost of capital was 1 1 %/0

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