Question

In: Finance

__________ re?ects the value created or destroyed each year, or in other words, the economic profit....

__________ re?ects the value created or destroyed each year, or in other words, the economic profit.

a)

Earnings per Share

b)

Capital Returns

c)

Ratio Analysis

d)

Market Value Added

e)

Economic Value Added

Solutions

Expert Solution

Correct answer is E.

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An economic profit or loss is the contrast between the income got from the sale of a yield and the opportunity cost of the data sources utilized. In ascertaining economic profit, opportunity costs are deducted from incomes earned. Opportunity costs are the elective returns foregone by utilizing the picked inputs, and accordingly, a man can have a critical bookkeeping profit with almost no economic profit. An economic profit or loss is the contrast between the income got from the sale of a yield and the opportunity cost of the data sources utilized. In ascertaining economic profit, opportunity costs are deducted from incomes earned. Opportunity costs are the elective returns foregone by utilizing the picked inputs, and accordingly, a man can have a critical bookkeeping profit with almost no economic profit.

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