financed with debt$)$

Wildhorse Enterprises is capitalized $40\%$ with debt and $60\%$ with equity. Its average debt rate is $7\%,$ and its average equity rate is $9\%.$ Wildhorse's best$-$performing segment earned operating income of $$194,000$ using invested capital of $$1,430,000.$ The company's tax rate is $22\%.$

Calculate this segment's EVA this year.

EVA $ $$

If its EVA last year was $$34,000$ based on the same WACC and the same asset base, how much after$-$tax operating income did it earn last year?

After$-$tax operating income

$