Since interest costs,expected returns on plan assets,and amortization of losses are part of the compensation expenses for a firm,they should be considered to be a part of NOPLAT.

Question

Quizplus · Accepted Answer

NOPLAT (Net Operating Profit Less Adjusted Taxes) is calculated based on operating income, which excludes financing costs like interest expenses. It focuses on the core operations of a business, not including the effects of financing and investment income or expenses.

Since Interest Costs,expected Returns on Plan Assets,and Amortization of Losses