Endotrope Corporation has an after-tax operating income of $3,200,000 and a 9% weighted-average cost of capital. Assets total $7,000,000 and current liabilities total $1,800,000. On the basis of this information, Endotrope's economic value added is:
A) $2,408,000.
B) $2,732,000.
C) $3,668,000.
D) $3,992,000.
E) None of the answers is correct.
Correct Answer:
Verified
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