Residual Wealth

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August 24, 2024 4 min read Definitions
Economic Value Added (EVA): Calculation, Benefits, and Drawbacks
Finance Economics Economic Value Added Financial Metrics Cost of Capital Residual Wealth Corporate Finance
Economic Value Added (EVA) is a financial metric that measures a firm's residual wealth by deducting the cost of capital from operating profit. This article explores the calculation, benefits, and drawbacks of EVA.
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