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EVA

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › EVA

  • This topic has 3 replies, 3 voices, and was last updated 10 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
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  • November 27, 2014 at 2:49 am #213631
    jess
    Member
    • Topics: 36
    • Replies: 19
    • ☆☆

    to calculate EVA, i know the provision for deferred tax hv to add back to operating profit and capital employed.

    1)my question is will the deferred tax affect tax payble ? the tax payable i mean here is for calculating the nopat ( operating profit – tax payble). can u show me an example?

    2)for non cash expenses, we added back to OP. Do we have to add back to CE too?

    November 27, 2014 at 6:38 am #213655
    icedawn
    Member
    • Topics: 32
    • Replies: 176
    • ☆☆☆

    https://www.accaglobal.com/content/dam/acca/global/pdf/sa_july11_perfmeasurement.pdf

    all you need to know for eva, i doubt we will get a complex question on eva

    November 27, 2014 at 6:42 am #213658
    jess
    Member
    • Topics: 36
    • Replies: 19
    • ☆☆

    i have read it but that question did not have deferred tax. i want to know whther deferred tax will affect tax payble in the calculation of nopat.

    November 27, 2014 at 7:30 am #213683
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54659
    • ☆☆☆☆☆

    No – it will not.

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