Disaggregation and EBITDA: Difference between pages

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imported>Doug Williamson
(Update.)
 
imported>Doug Williamson
(Add Depreciation to See also links.)
 
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1.
[[Earnings]] Before Interest, Tax, [[Depreciation]] and [[Amortisation]].


''Accounting.'' 


The accounting principle that relevant assets and liabilities should normally be reported separately at their gross amounts, rather than being netted off.
EBITDA is designed to compare underlying operating performance over time or between businesses, free from any distortions caused by differing financial structures, tax, or the historical cost of fixed assets.




2.
It is sometimes written out in full in a slightly different order - especially in North America - as:


The closely related - but broader - accounting principle that important relevant amounts should be disclosed separately, rather than only being reported as a total (aggregated) figure.
Earnings Before Tax, Interest, Depreciation and Amortisation.
 
(But it is still abbreviated to EBITDA in either case.)




== See also ==
== See also ==
* [[Accounting concepts]]
* [[Earnings]]
* [[Accruals concept]]
* [[Depreciation]]
* [[Assets]]
* [[EBIT]]
* [[Consistency]]
* [[EBITDA multiple]]
* [[Going concern]]
* [[Liabilities]]
* [[Prudence]]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Corporate_finance]]
[[Category:Long_term_funding]]
[[Category:Treasury_operations_infrastructure]]

Revision as of 11:16, 14 November 2015

Earnings Before Interest, Tax, Depreciation and Amortisation.


EBITDA is designed to compare underlying operating performance over time or between businesses, free from any distortions caused by differing financial structures, tax, or the historical cost of fixed assets.


It is sometimes written out in full in a slightly different order - especially in North America - as:

Earnings Before Tax, Interest, Depreciation and Amortisation.

(But it is still abbreviated to EBITDA in either case.)


See also