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Washington Company has two divisions: the Adams Division and the Jefferson Division. The foliowing information pertains to last year's results: Washingten's sctual cost of capital

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Washington Company has two divisions: the Adams Division and the Jefferson Division. The foliowing information pertains to last year's results: Washingten's sctual cost of capital was 14%. Requiredt 1. Calculate the EVA for the Adams Division, If required, enter a negative EVA as a negative number by entering your answer with the fninus sign, 2. Colculate the EVA for the Jefferson Division. If required, enter a negative EvA as a negative number by entering your answer with the minus sign. 5 3. Conceotual Connection: Is each division creating of destroying wealth? Adams Division Jeffenson Division 4. Describe generally the trpes of actions that Washington's management team could take te increase Jefferson Divitions Eva? a. Increase the after-tak operating profit that is qenerated from using the same amaunt of invested capital. b. Continue to generate the same after-tax operating profit but use less capital to do so. C. Continue to-generate the same affer-tak operating profit using the same amount of capital, but with a lower cost of cagital. d. Decreasif the after-tas operating profic that is generated from using the same amount of invested capitali e. Continue to generate the samen after-tax operating protit but use more capital to do so

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