The Capital Charge in EVA® Is Computed As

The capital charge in EVA® is computed as:

A) Cost of capital - Notes payable - Current maturities of long-term debt - Long-term debt - Stockholders' equity.
B) (Notes payable, beginning balance + Current maturities of long-term debt, beginning balance + Long-term debt, beginning balance + Stockholders' equity, beginning balance) × Cost of capital.
C) Cost of capital + Current maturities of long-term debt + Loans payable + Long-term debt + Stockholders' equity.
D) (Notes payable + Current maturities of long-term debt + Long-term debt + Stockholders' equity) ÷ Cost of capital.