Economic value added (EVA) is a measure of operating performance that indicates how successful a firm has been at:
A) increasing the growth in earnings
B) increasing the MVA of the enterprise in any given year
C) increasing the rate of return on investment
D) all of the above

Question

Quizplus · Accepted Answer

EVA measures the value created above the required return of the company's shareholders, which directly impacts the Market Value Added (MVA) of the enterprise.

Economic Value Added (EVA) Is a Measure of Operating Performance