ROIC is 14%, WACC is 11% and capital is Rs 2,000,000. What is EVA?
ARs 60,000
BRs 300,000
CRs 220,000
DRs 280,000
Answer & Solution
Correct answer: A. Rs 60,000
EVA = (14% - 11%) x 2,000,000 = 3% x 2,000,000 = 60,000.
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