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Paver Waste Management has a subsidiary that disposes of hazardous waste and a subsidiary that collects and disposes of residential garbage. Information related to the

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Paver Waste Management has a subsidiary that disposes of hazardous waste and a subsidiary that collects and disposes of residential garbage. Information related to the two subsidiaries follows: Hazardous Waste $13,464,000 2,904,000 Total assets Noninterest-bearing current liabilities Net Income Residential Waste $76,560,000 11,616,000 5,808,000 7,064,000 1,644,000 Interest expense 1,208,000 Required rate of return 10% 13% Tax rate 35% 35% (b) Calculate EVA for both subsidiaries. Note that since no adjustments for accounting distortions are being made, EVA is equivalent to residual income. (Enter negative answers preceding either - sign, eg.-45 or in parentheses, es: (451) Hazardous Waste Residential Waste EVA $ e Textbook and Media

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