EBIT and EBITDA measures in company accounting and reporting

Abstract

Considering the role and applicability of such profitability indicators in the national accounting system as profit before taxes and interest, as well as deduction of depreciation, indicates the lack of widespread practical significance of these values. However, the specifics of calculating ebit and ebitda according to IFRS-accounts demonsrate the relevance of studying these economic figures in the theoretical and applied aspects within the context of the application of international accounting standards. EBIT and EBITDA figures came to the national microeconomics from the norms of the world financial reporting standards. Although they are not even regulated in our country, their use is necessary to assess the effect of the company's activities, especially for comparison with other business entities.