EBITDA adds back interest, taxes, and non-cash expenses to net income and serves as a proxy for operating cash flow.

Name: EBITDA adds back interest, taxes, and non-cash expenses to net income and serves as a proxy for operating cash flow.
Brand: Quizplus
Rating: 4.8 (53 reviews)

Question

Quizplus · Accepted Answer

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) adds back interest, taxes, and non-cash expenses like depreciation and amortization to net income, providing a measure of a company's operating performance and cash flow from operations.

EBITDA Adds Back Interest, Taxes, and Non-Cash Expenses to Net