What's the difference btw

bigredhockey55

What's the diff btw Economic Profit and Residual Income? I always mix them up, and I just got a very simple question wrong and I'm pissed!

So Economic Profit = [EBIT *(1 - Tax Rate)] - $WACC

Residual Income = [NI - (Cost of Equity * Book Value)]

Formula correct?

Any easier way to remember the difference btw them? And also in terms of the formula for each.