Stock Buybacks Return on Capital and EVA

When companies buy back stock, they are allowed to reduce the book value of their equity by the market value of the stocks bought back. When the market value of equity is well in excess of book value of equity, buying back stock will generally a. increase the return on capital but not affect the EVA

b. increase the return on capital and increase the EVA

c. not affect the return on capital but increase the EVA

d. none of the above Why or why not?

There is a dataset on the web that summarizes, by sector, the economic value added and the equity economic value added in each.

Retirement Planning For The Golden Years

Retirement Planning For The Golden Years

If mutual funds seem boring to you, there are other higher risk investment opportunities in the form of stocks. I seriously recommend studying the market carefully and completely before making the leap into stock trading but this can be quite the short-term quick profit rush that you are looking for if you am willing to risk your retirement investment for the sake of increasing your net worth. If you do choose to invest in the stock market please take the time to learn the proper procedures, the risks, and the process before diving in. If you have a financial planner and you definitely should then he or she may prove to be an exceptional resource when it comes to the practice of 'playing' the stock market.

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