Prosperous Bank has a criterion that it will give loans to companies that have an economic value added (EVA) greater than zero for the past three years on an average. The bank is considering lending money to a small comp

Prosperous Bank has a criterion that it will give loans to companies that have an economic value added (EVA) greater than zero for the past three years on an average. The bank is considering lending money to a small company that has the economic value characteristics shown below : (i) Average operating income after tax equals to ₹25,00,000 per year for the last 3 years. (ii) Average total assets over the last 3 years equals ₹75,00,000. (iii) Weighted average cost of capital appropriate for the company is 10%, applicable for all 3 years. (iv) The company's average current liabilities over the past 3 years are ₹15,00,000. Does the company meet the bank's criterion for a positive EVA? Show your workings.