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In 2021, Alex Morgan LLC had the following: Earnings Before Interest & Taxes $ 100,000 Effective Tax Rate 13.0% Increase in Net Working Capital $

In 2021, Alex Morgan LLC had the following:
Earnings Before Interest & Taxes $ 100,000
Effective Tax Rate 13.0%
Increase in Net Working Capital $ 20,000.0
Depreciation $ 5,000
Capital Expenditures $ 6,000
Assuming you are an Analyst calculating ROIC using FCFF as
your measure of economic income, and you calculate
ROIC to be 12.50%, then what was Morgan's Average Invested Capital?
Put answer in cell A137
Alex Morgan LLC's Chief Financial Officer, Mackenzie Dern, analyzed
one of Morgan's competitors. She found that the competitor had
Average Invested Capital of $600,000 in 2021. She said the
Company had FCFF of $50,000; FCFE of $40,000; and that their WACC was 10.0%.
She asked you what their EVA would be?
A. 10,000
B. 20,000
C. (20,000)
D. (10,000)

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