For the Calculation of EVA, Current Liabilities Are Deducted from Total

Multiple Choice

For the calculation of EVA, current liabilities are deducted from total average assets for what reason?

A) Because liabilities are not included in assets, and so they should be deducted.
B) Because the current liabilities are due within a one year period.
C) Because it is necessary in order to calculate the equity of the company.
D) Because the funds needed to pay the current liabilities will not be available to generate income in the long run.