What Is the Formula for Calculating Economic Value Added (EVA)

question 15

Multiple Choice

What is the formula for calculating economic value added (EVA) ?

• A) margin - total annual cost of capital
• B) operating income - average cost of capital
• C) operating income - total annual cost of capital
• D) operating income - taxes and the total annual cost of capital

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Definitions:

Leniency

The act of being more merciful or tolerant than expected, often applied in judicial sentences or disciplinary actions.

Labeling Perspective

A sociological perspective that examines how societal labels, once applied, affect individuals' self-identity and perceptions by others, often leading to a self-fulfilling prophecy.

Lower-Consensus Deviance

Behaviors that are not widely agreed upon as deviant by society, often involving acts that may be frowned upon by some but not considered criminal or immoral by others.

Public Consensus

General agreement or shared beliefs among a population or group on a specific issue or idea.