Earnings Before Interest and Taxes in Performance Ratio Formulas

Earnings Before Interest and Taxes is a measure of a firm’s profit that includes all expenses except interest and income tax expenses. And is denoted by EBIT.

Performance Ratio formulas that make use of Earnings Before Interest and Taxes

fxInterest Coverage RatioGo

fxFixed Charge Coverage RatioGo

FAQ

What is the Earnings Before Interest and Taxes?

Earnings Before Interest and Taxes is a measure of a firm’s profit that includes all expenses except interest and income tax expenses.

Can the Earnings Before Interest and Taxes be negative?

{YesorNo}, the Earnings Before Interest and Taxes, measured in {OutputVariableMeasurementName} {CanorCannot} be negative.

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