Has Economic Depreciation been thrown off the syllabus?

CFA Level II Equities
#1

Quick outline here

http://cfaglossary.blogspot.co.uk/2010/12/system-purchased-price-700000-shipping.html

I have come across one or two questions involving this calculation yet there is no mention of it in the CFAI books.

Have they removed it from the material?

#2

It’s in the Residual Income Reading for calculating Economic Value Added (near the end of the reading)

#3

I thought economic depreciation was related to Economic Income, not EVA?

#4

Can you give me the page number. I’ve gone through it so often and cannot find it!

#5

it is in corporate finance - as part of economic income… it is the change in market value…ie,

cashflow - economic depreciation

or cashflow+ change in market value

someone confirm please?

#6

^

The equation is correct … But the definition of economic depreciation is: the reduction in market value

Economic Depreciation = - (change in market value)

#7

it’s the change in the market value, which is a negative value.