Here are simplified financial statements for Watervan Corporation:

INCOME STATEMENT (Figures in $ millions)

Net sales $ 883.00

Cost of goods sold 743.00

Depreciation 33.00

Earnings before interest and taxes (EBIT) $ 107.00

Interest expense 14.00

Income before tax $ 93.00

Taxes 19.53

Net income $ 73.47

BALANCE SHEET (Figures in $ millions)

End of Year Start of Year Assets Current assets $ 371

$ 316

Long-term assets 262

224

Total assets $ 633

$ 540

Liabilities and shareholders' equity Current liabilities $ 196

$ 159

Long-term debt 110

123

Shareholders' equity 327

258

Total liabilities and shareholders' equity $ 633

$ 540

The company's cost of capital is 8.5%.

a. Calculate Watervan's economic value added (EVA). (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)

b. What is the company's return on capital? (Use start-of-year rather than average capital.) (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

c. What is its return on equity? (Use start-of-year rather than average equity.) (Enter your answer as a percent rounded to 2 decimal places.)

d. Is the company creating value for its shareholders?