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Emerald Division had the following information: Current Liabilities $ 3,600,000 Investment base 35,000,000 Net operating income before taxes 4,000,000 Tax rate 35% Cost of capital
Emerald Division had the following information:
Current Liabilities $ 3,600,000
Investment base 35,000,000
Net operating income before taxes 4,000,000
Tax rate 35%
Cost of capital 7%
Calculate Emerald Division's economic value added.
How do I calulate EVA and Income after taxes?
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