Hi,
Are there any differences between these three?
My understanding is that MVIC and TIC is the same thing? They include Cash and EV does not. Is that correct?
Hi Thammer,
MVIC = Market value of debt + Market value of equity
TIC = MVIC
EV or Economic Profit (EP) = Net operating profit after tax - WACC x TIC
I think this was asked before. You can refer to this: https://www.analystforum.com/forums/cfa-forums/cfa-level-ii-forum/91322762