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Refer to the data in the preceding exercise for Golden Gate Construction Associates. The company has...

Refer to the data in the preceding exercise for Golden Gate Construction Associates. The company has two divisions: the real estate division and the construction division. The divisions’ total assets, current liabilities, and before-tax operating income for the most recent year are as follows: DivisionTotal AssetsCurrent LiabilitiesBefore-Tax Operating IncomeReal estate .......................................................................$100,000,000$6,000,000$20,000,000Construction ....................................................................60,000,0004,000,00018,000,000 Required: Calculate the economic value added (EVA) for each of Golden Gate Construction Associ-ates’ divisions. (You will need to use the weighted-average cost of capital, which was computed in the preceding exercise.)

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