The EVA is a way of looking at a division's performance from the point of view of the:
A) managers.
B) employees.
C) shareholders and creditors.
D) suppliers.

Question

Quizplus · Accepted Answer

EVA (Economic Value Added) is a financial performance measure that calculates the excess return earned by a company relative to the cost of capital. As a result, shareholders and creditors are the main stakeholders interested in EVA. They want to know if a division is creating value for the company and generating returns that exceed the cost of capital. This measure is not primarily aimed at managers or employees, and suppliers are not typically interested in a company's financial performance.

The EVA Is a Way of Looking at a Division's