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Business, 31.05.2020 03:03 xoxo4849

EVA/MVA The financial statements reflect historical data, but managers' performance must be evaluated on the basis of values. To provide this information, financial analysts have developed two measures: Market Value Added (MVA) and Economic Value Added (EVA). Market Value Added represents the difference between the money stockholders have invested in the firm versus the cash they could receive if the firm were sold. The equation for MVA is:

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EVA/MVA The financial statements reflect historical data, but managers' performance must be evaluate...
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