Which of the following statements about the economic value added (EVA) performance measure is not true?
A) The charge deducted for the cost of capital can vary depending on the various levels of risk.
B) The formula to calculate EVA uses profit before tax.
C) The adjustments could be manipulated by managers.
D) It is a short-term economic performance indicator.
Correct Answer:
Verified
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Q19: A key performance indicator (KPI)is a:
A) performance
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Q22: There is a need to combine return
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Q26: A disadvantage of using economic value added
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