EBIT, earnings before interest and taxes, is also called:
A)operating income.
B)net income.
C)financial income.
D)revenue.

Question

Quizplus · Accepted Answer

EBIT refers specifically to a company's operational earnings before interest and taxes are taken into account, which is why it is also known as operating income. Net income refers to a company's total earnings after all expenses, including interest and taxes, have been deducted. Financial income refers specifically to income gained through financial investments, such as interest or dividends, and revenue refers to the total amount of money a company earns from sales or services.

EBIT, Earnings Before Interest and Taxes, Is Also Called