Economic value added (EVA)is a more appropriate performance measure when there is a large difference between the market value of invested capital and the book value of assets.

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Economic Value Added (EVA) takes into account the cost of capital and measures the difference between Net Operating Profit After Taxes (NOPAT) and the cost of capital. This measure is more appropriate when there is a significant difference between the market value of invested capital and the book value of assets. It provides a more accurate picture of a company's profitability compared to measures like accounting profits, which only consider book values.

Economic Value Added (EVA)is a More Appropriate Performance Measure When