EVA - vs EP

[Jones473]

What is the difference between EVA and EP?
EVA: EBIT(1-t) - WACC*total capital
EP: EBIT(1-t) * WACC*invested capital?
In the case they are the same, why two different names?

 

[Harrogath]

Both are the same but EVA is the trademark name of that model. I would use them interchangeably.

 

[Flashback]

Harrogath wrote:
Both are the same but EVA is the trademark name of that model. I would use them interchangeably.

Has Value Added Tax invented and derived from this model immediately after its announcement?
EVA = VAT

 

[Burnoutmode]

Actually I think EVA is the NPV of all EPs. They’re not the same. I see them being used interchangeably but I think that’s actually wrong. The reason why they are used interchangeably is because if you are in just one time period (as of today) then there’s no need to PV anything.

 

[olympria]

Alright.. sorry…

 

[turbo989]

^^^ this is wrong lol