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EVA

GGontle6y ago
In the EVA calculation is economic depreciation supposed to be deducted from replacement cost of assets as well?
C-Cath - CIMA Tutor6y ago#1
Hi there! Thanks for your question. Yes definitely economic depreciation reflects the market value change of the assets so we deduct from NOPAT profits and this should be reflected in non-current assets on the capital employed side too Many Thanks Cath
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