EVA = adjustedafter-tax operating income – (cost of invested capital – a percentage xadjusted average invested capital).
举一反三
- The following information is available for the Stanley Company: Sales for year $1,000,000 Average invested capital for year $312,500 Return on investment 20% What is the operating income?
- In all ROIcalculations, invested capital should be measured as an average for the periodunder review.
- Capital turnover =revenue / invested capital
- The average of a firm's cost of equity and after tax cost of debt that is weighted based on the firm's capital structure is called the: A: reward to risk ratio B: weighted capital gains rate C: structured cost of capital D: weighted average cost of capital
- The value of a firm is maximized when the A: cost of equity is maximized. B: tax rate is zero. C: levered cost of capital is maximized. D: weighted average cost of capital is minimized.