Earnings before Interest and Taxes / Interest Expense-indicates how comfortably the company can handle its interest payments. In general, a higher interest coverage ratio means that the small business is able to take on additional debt. This ratio is closely examined by bankers and other creditors.
Earnings before interest and depreciation after taxes # I don't believe this person's answer is correct - after a long search I found the following meaning "Earnings Before Interest, Depreciation, Amortisation >And< Tax" #
Earnings Before Tax / Earnings Before Interest and Tax It provides a comparative measure of the cost of debt.
Earnings before interest, taxes, depreciation and amortization
Earnings Before Interest, Taxes, Depreciation and Amortization.BySatish Sreekumar,Madras, India
correlation of Earnings before Interest Depreciation Taxes and Amoritization and Revenue.
Earnings Before Interest and Taxes. It is also called as Operating profit.
No, interest earnings from municipal bonds are not tax exempt at the federal or state level.
The cash coverage ratio is useful for determining the amount of cash available to pay for interest, and is expressed as a ratio of the cash available to the amount of interest to be paid.To calculate the cash coverage ratio, take the earnings before interest and taxes (EBIT) from the income statement, add back to it all non-cash expenses included in EBIT (such as depreciation and amortization), and divide by the interest expense. The formula is: Earnings Before Interest and Taxes + Non-Cash Expenses Interest Expense.
return on capital = earnings before interest and tax / capital employed * 100
EBITDA Earnings Before Interest Tax Depreciation and Amoortisation Also Revenue minus costs.
No, EBIT (Earnings Before Interest and Taxes) and PBIT (Profit Before Interest and Taxes) are not the same. EBIT refers to the operating profit of a company before interest and taxes are accounted for, while PBIT refers to the profit of a company before interest and taxes are deducted. In other words, EBIT includes only operating income, whereas PBIT includes both operating and non-operating income.
A times interest earned is calculated to determine how well a business could pay off its debts. It is calculated by taking the company's earnings before taxes and interest and dividing it by the interest on bonds payable and other debt.