Here are simplified financial statements for Watervan Corporation: Net sales Cost of goods sold Depreciation Earnings before interest and taxes (EBIT) Interest expense Income before tax Taxes Net income J Assets a. INCOME STATEMENT (Figures in $ millions) Current assets Long-term assets Total assets Liabilities and shareholders' equity Current liabilities Long-term debt Shareholders' equity Total liabilities and shareholders' equity b. C. BALANCE SHEET (Figures in $ millions) d. $891.00 751.00 41.00 $ 99.00 22.00 $ 77.00 16.17 $ 60.83 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.) Economic value added Return on capital Return on equity Is the company creating value for its shareholders? End of start of Year Year 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? $ 379 278 $ 657 S $ 284 118 335 $ 657 Yes $ 332 232 $ 564 $ 167 131 266 $ 564 Answer is complete but not entirely correct. 44.47 million 15.32 X % 22.87 %