Best Practice EVA tells the new EVA story from the ground up. Stewart covers EVA essentials—the classic economic profit version of EVA—in the first three chapters of the book. Best-Practice EVA tells the new EVA story from the ground up. Stewart covers EVA essentials the classic economic profit version of EVA in the first three chapters of the book. He shows readers how simple and intuitive EVA really is, how it is defined, and why it is better than all other measures of corporate profit. Preface ix CHAPTER 1 EVA 101 1 CHAPTER 2 EVA and Value 19 CHAPTER 3 Accounting for Value 47 CHAPTER 4 What’s Wrong with RONA? 85 CHAPTER 5 The New EVA Ratio Metrics 99 CHAPTER 6 EVA Margin 123 CHAPTER 7 Setting EVA Targets 157 CHAPTER 8 Put Momentum into Planning 191 CHAPTER 9 Dividing Multiples into Good and Bad 217 CHAPTER 10 Put EVA into Capital Decisions and Acquisitions 223 CHAPTER 11 EVA and the Buy Side 245 CHAPTER 12 Become a Best-Practice EVA Company 273 APPENDIX A The Best-Practice EVA Software Toolkit 287 APPENDIX B Corrective Accounting Adjustments 291 APPENDIX C Accounting for Corporate Charges in Detail 295 Glossary 299 About the Author 313 Index 315