Which of the following identifies a firm’s the Operating Profit? a. Revenues b. EBT c. EAT...

Which of the following identifies a firm’s the Operating Profit?

a.	Revenues
	b.	EBT
	c.	EAT
	d.	EBIT

Solutions

Expert Solution

Operating profit is nothing but sales from core operations and deduct total cost of goods sold, depreciation,operating Expenses and also amortisation expenses but operating expense is before deducting interest and tax expense.Hence operating expense is also referred as EBIT which means earnings before interest and taxes.

Answer : EBIT (d)

jeff jeffy answered 2 years ago

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