Discussion Post
As a CFO, you are evaluating the performance of three divisions of your company using both measures-Return on Investment (ROI; %) and Economic Value Added (EVA; $). Note that ROI is measured by dividing net income by the total capital employed.
Explain the difference between ROI and EVA as a performance measure, other than their units (% vs. $). If in a given year a division has a positive ROI but a negative EVA, what would that mean? Explain also why that would happen.
The response should include a reference list. One-inch margins, Using Times New Roman 12 pnt font, double-space and APA style of writing and citations.