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What Is a Significant Disadvantage to EVA

Question 3

Multiple Choice

What is a significant disadvantage to EVA?


A) Once calculated, it is difficult to interpret correctly.
B) It can be unfairly biased by company size.
C) It is not directly comparable to the EVA of another company.
D) It is not directly comparable to the EVA of a previous period.
E) It can be unfairly biased by the liquidity of the company.

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