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Scrantoh Shipyards has $20 million in total invested operating capital, and its WACC is 10% Seranton has th following income statement: Sales $10.0 million Operating

Scrantoh Shipyards has

$20

million in total invested operating capital, and its WACC is

10%

Seranton has th following income statement:\ Sales\

$10.0

million\ Operating costs\ 6.0 million\ Operating income (EBIT)\ $ 4.0 million\ Interest expense\ 2.0 million\ Earnings before taxes (EBT)\ $ 2.0 million\ Taxes (40%)\ 0.8 million\ Net income\ $ 1.2 million\ What is Scranton's EVA?\

$400,000

\

$420,000

\

$441,000

\

$463,050

\

$486,203
image text in transcribed
Sorratitoh Shipyards has $20 million in total invested operating capital, and its WACC is 10%. Scranton has th following income statement: $400,000 $420,000 $441,000 $463,050 $486,203

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