Answered: NUBD's economic value added is:

Business

Accounting

NUBD's economic value added is:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

NUBD Corporation has an before-tax operating income of P3,200,000 and a 9% weighted-average cost of capital. The tax rate is 25%. Operating assets total P7,000,000 and Operating liabilities total P1,800,000. On the basis of this information, NUBD's economic value added is:

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