beside the different formula used, what are their fundamental differences? they sound too familiar /identical to me… profit=income… thanks
econ profit = NOPAT - $WACC = EVA econ income = ATCF - econ depreciation
do the one in the q-bank (forgot what number it was, did it last week). it’ll definitely make u understand because the calculations are more in-depth than the one in the Notes. for example EI = ATCF + delta MV or EI = ATCF - economic dep where ATCF = EBIT(1-T) + depreciation