[PDF] Calculating Office Overhead - AWCI



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We use three residual income measures: Economic Profit, Economic Value Added (EVA) and Cash Value Added We also show that economic profit and EVA are different, although Copeland, Koller and Murrin (2000, page 55) say that economic profit is a synonym of EVA Specifically, we first show that the present value of the Economic Profitdiscounted



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Profit for the year 12 904 10 468 of which attributable to non-controlling interests 295 333 of which attributable to shareholders of the parent (Net profit) 12 609 10 135 As percentages of sales Trading operating profit 14 8 15 1 Profit for the year attributable to shareholders of the parent (Net profit) 13 6 11 1



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Calculating Office Overhead - AWCI

now you have a benchmark on which to base profit percentage decisions A better visual picture might be this: Take the 12 percent and multiply it by your total gross volume (in our example, $6 mil-lion); you’ll get a result of $720,000 This is your target dollar value for the year, the amount left after all office overhead and



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