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Earnings Before Tax / Earnings Before Interest and Tax

It provides a comparative measure of the cost of debt.

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13y ago

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Related Questions

What is ratio analysis and importance of ratio analysis in financial management?

what is ratio analysis


What is gearing ratio and its importance?

gearing is where a company analyses its financial expenditure on its operations


What is the Value of ratio analysis to the strategic decision making of an organization?

Importance of financial ratio analysis on investment decision making?


Who does marketing in company?

it manages our financial cost and investment and also gives us profit ratio.


If gross profit ratio has been increased in first year and gross profit ratio has been decreased in second year then what is the financial position of the company?

it mean the cost of sale sale of company increase or the direct cost increase


What is the importance of monitoring and maintaining a healthy debt ratio in personal finance?

Monitoring and maintaining a healthy debt ratio in personal finance is important because it helps individuals manage their debt responsibly and avoid financial strain. A healthy debt ratio indicates that a person is not overburdened with debt, which can lead to financial instability and difficulty in meeting financial obligations. By keeping a healthy debt ratio, individuals can better control their finances, build a good credit score, and achieve long-term financial stability.


What Tools and techniques used in financial management?

cost of capital,financial leverage,capital budgeting appraisal methods,ABC analysis,ratio analysis and cash flow statements.


What is the importance of maintaining a healthy debt ratio in personal finance?

Maintaining a healthy debt ratio in personal finance is important because it helps individuals manage their debt responsibly and avoid financial strain. A healthy debt ratio indicates that a person is not borrowing more money than they can afford to repay, which can lead to financial stability and better credit scores.


Could you Evaluate the importance of capital structure and the cost of capital in efficient financial management of companies?

How do i start answering this question?


What is cost ratio calculated by?

Cost Ratio = expenses/earnings


Would you prefer a low debt to equity ratio for your financial situation?

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What are the scopes of financial ratio analysis?

scope of ratio analysis