What is the eva for sanchez? company

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Reference no: EM132775877

Sanchez Company reports the following? information:

Net operating profit after taxes ?$500,000

Adjusted net operating profit after taxes ?$670,000

Average invested capital ?$500,000

Adjusted average invested capital ?$700,000

After-tax cost of capital ?10%

Problem 1: The adjusted figures reflect adjustments used by Stern Stewart? & Company. What is the EVA for Sanchez? Company?

A. ?$450,000

B. $600,000

C. ?$620,000

D. ?$430,000

Reference no: EM132775877

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