Question 7 (1 point) Saved Jikoni Company has 2 sources of funds: long-term debt with a market and book value of $15M issued at an interest rate of 10%, and equity capital that has a market value of $9 million (book value of $5 million). Jikoni Company has profit centres in the following locations with the following operating incomes, total assets, and current liabilities. The cost of equity capital is 15%, while the tax rate is 30%. Operating Current Income Assets Liabilities Smith Falls $815,000 $3,750,000 $800,000 Brocksville $1,100,000 $5,000,000 $1,200,000 Stoneybrook $2,450,000 $9,250,000 $3,180,000 What is the EVA for Smith Falls? A) $305,000 B) $338,563