Economic Value Added Is Calculated by Which of the Following

question 110

Multiple Choice

Economic value added is calculated by which of the following formulas?

• A)EVA = After-tax operating income + (Weighted average cost of capital × Total capital employed)
• B)EVA = After-tax operating income × Weighted average cost of capital
• C)EVA = After-tax operating income - (Weighted average cost of capital × Total capital employed)
• D)EVA = Total capital employed - (Weighted average cost of capital × After-tax operating income)

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Definitions:

Regulators

Authorities or agencies responsible for overseeing and enforcing compliance with laws, rules, or regulations in various fields.

Sustainability

The ability to maintain or improve certain processes or states indefinitely, often referring to environmental, economic, and social well-being.

Environmental Activists

Individuals or groups who actively promote the protection of the environment and advocate for policies or practices that minimize harm to natural ecosystems.

Tragedy Of The Commons

A situation in which individuals act in their own interest and deplete shared resources, leading to long-term collective loss.