How to compute the following in a company’s economic value added (EVA) and interpret the value computed as well for Average cost of funds 10.

How to compute the following in a company’s economic value added (EVA) and interpret the value computed as well for Average cost of funds 10.0 %

                         EBIT                                         $ 500,000

                         Total capital                            $1,250,000

                         EPS                                          $2.00

                         Shares outstanding               150,000

                         Marginal tax rate                     30.0%

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