Computing the economic value added

Reference no: EM131970528

Question: At the end of 2011 Home Depot's total capitalization amounted to $29,025 million. In 2012 debt investors received interest income of $646 million. Net income to shareholders was $4,493 million. (Assume a tax rate of 35%.)

Calculate the economic value added assuming its cost of capital is 10%. (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)

Reference no: EM131970528

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