What is the company's EVA? Answer options are provided in whole dollar.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Casey Motors recently reported the following information:
. Net income = $732,000.
• Tax rate 25%.
. Interest expense = $160,000.
■ Total invested capital employed = $9.2 million.
. After-tax cost of capital = 10%.
What is the company's EVA? Answer options are provided in whole dollar.
Oa. $56,000
Ob. -$188,000
Oc. -$68,000
Od. $216,000
Oe. $1,772,000
Transcribed Image Text:Casey Motors recently reported the following information: . Net income = $732,000. • Tax rate 25%. . Interest expense = $160,000. ■ Total invested capital employed = $9.2 million. . After-tax cost of capital = 10%. What is the company's EVA? Answer options are provided in whole dollar. Oa. $56,000 Ob. -$188,000 Oc. -$68,000 Od. $216,000 Oe. $1,772,000
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