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    Business
  3. Study Set
    Valuation Measuring
  4. Exam
    Exam 2: Fundamental Principles of Value Creation
  5. Question
    Economic Profit Consists of the Spread Between ROIC and Cost
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Economic Profit Consists of the Spread Between ROIC and Cost

Question 8

Question 8

True/False

Economic profit consists of the spread between ROIC and cost of capital and is useful in determining which business units or investment opportunities would create more value.

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