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The Coca-Colla Company uses EVA to evaluate top management performance. In 2008, Coca-Colla had net operating income of $8,446 million, income taxes of $1,632 million,

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The Coca-Colla Company uses EVA to evaluate top management performance. In 2008, Coca-Colla had net operating income of $8,446 million, income taxes of $1,632 million, and average noncurrent liability plus stockholders' equity of $27,531 million. The company's capital is about 15% long-term debt and 85% equity. Assume that the after-tax cost of debt is 5% and the cost of equity is 11%. 1. Compute Coca-Colla's EVA. Assume definitions of after-tax operating income and invested capital as reported in Coca-Colla's annual reports without adjustments advocated by Stern Stewart

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