EBIT Solution

STEP 0: Pre-Calculation Summary
Formula Used
Earnings Before Interest and Taxes = Revenue-Operating Expense
EBIT = R-OPEX
This formula uses 3 Variables
Variables Used
Earnings Before Interest and Taxes - Earnings Before Interest and Taxes is a measure of a firm's profit that includes all expenses except interest and income tax expenses.
Revenue - Revenue is the income that a business has from its normal business activities, generally from the sale of goods and services to customers.
Operating Expense - Operating Expense is an expense incurred in carrying out an organization's day-to-day activities, but not directly associated with production.
STEP 1: Convert Input(s) to Base Unit
Revenue: 10000 --> No Conversion Required
Operating Expense: 1254 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
EBIT = R-OPEX --> 10000-1254
Evaluating ... ...
EBIT = 8746
STEP 3: Convert Result to Output's Unit
8746 --> No Conversion Required
FINAL ANSWER
8746 <-- Earnings Before Interest and Taxes
(Calculation completed in 00.004 seconds)

Credits

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Bhilai Institute of Technology (BIT), Raipur
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7 Financial Metrics Calculators

Compound Annual Growth Rate
​ Go Compound Annual Growth Rate = (((Ending Value/Starting Value)^(1/Number of Years to Track Growth))-1)*100
Customer Selling Price
​ Go Customer Selling Price = Cost Price+(Profit Margin Percentage*Cost Price)
Return on Invested Capital
​ Go Return on Invested Capital = Net Operating Profit After Tax/Total Invested Capital
Days Sales Outstanding
​ Go Days Sales Outstanding = (Average Account Receivables/Total Net Credit Sales)*365
Days Payables Outstanding
​ Go Days Payables Outstanding = (Average Account Payables/Cost of Goods Sold)*365
EBIT
​ Go Earnings Before Interest and Taxes = Revenue-Operating Expense
Cost Plus Pricing
​ Go Cost Plus Pricing = Break Even Price*Profit Margin Goal

22 Basics of Financial Accounting Calculators

DuPont Analysis
​ Go Return on Equity = (Net Income/Revenue)*(Revenue/Average Total Assets)*(Average Total Assets/Average Total Equity)
Internal Rate of Return
​ Go Net Present Value = sum(x,0,Number of Periods,((Cashflow at End Period/(1+Internal Rate of Return)^x)))-Initial Investment
Discount Lost
​ Go Discount Lost = (Discount Percentage/(100-Discount Percentage))*(365/(Final Payment Date-Last Discount Date))
Annual Equivalent Cost
​ Go Annual Equivalent Cost = (Asset Price*Discount Rate)/(1-(1+Discount Rate)^-Number of Periods)
Net Present Value
​ Go Net Present Value = sum(x,1,Time Period,(Cash Flow/(1+Internal Rate of Return)^x))
Annual Percentage Yield
​ Go Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1
Effective Yield
​ Go Effective Yield = 1+(Nominal Rate/Number of Payments Per Year)^(Number of Payments Per Year)-1
Depletion Charge per Unit
​ Go Depletion Charge per Unit = (Original Cost-Residual Value)/Total Number of Units Depletion
Value of Stock
​ Go Value of Stock = Expected Dividend Per Share/(Cost of Capital Equity-Dividend Growth Rate)
Shareholders' Equity given Share Capital, Retained Earnings and Treasury Shares
​ Go Total Shareholders' Equity = Share Capital+Retained Earnings-Treasury Shares
Operating Cash Flow
​ Go Operating Cash Flow = Earnings Before Interest and Taxes+Depreciation-Taxes
EBITDA
​ Go EBITDA = Earnings Before Interest and Taxes+Depreciation+Amortization
Discount Percentage
​ Go Discount Percentage = ((List Price-Price Paid)/Price Paid)*100
Residual Value
​ Go Residual Value = (Cost of Fixed Asset-Scrap Rate)/Lifespan
Long term Debt to Equity ratio
​ Go Long Term Debt to Equity Ratio = Long Term Debt/Shareholders Fund
EBIT
​ Go Earnings Before Interest and Taxes = Revenue-Operating Expense
Depletion Expense
​ Go Depletion Expense = Depletion Charge per Unit*Units Consumed
Shareholders' Equity given Total Assets and Liabilities
​ Go Total Shareholders' Equity = Total Assets-Total Liabilities
Discount Factor
​ Go Discount Factor = 1/(1*(1+Discount Rate)^Number of Periods)
Discount given Discount Rate and List Price
​ Go Discount = Discount Rate*List Price
Discount given List Price and Price Paid
​ Go Discount = List Price-Price Paid
List Price
​ Go List Price = Price Paid+Discount

16 Important Formulas of Business Metrics Calculators

Hourly Paycheck
​ Go Hourly Paycheck = Income Till Date+(Regular Working Hours*Wages Paid per Hour)+(Overtime Hours Worked*Wages Paid per Hour from Overtime Hours)-Taxes
Customers Lifetime Value with Discount Rate
​ Go Customer Lifetime Value = (Contribution Margin*Customer Retention Rate)/(1+Discount Rate-Customer Retention Rate)
Customer Lifetime Value
​ Go Customer Lifetime Value = (Average Cost of Customer Value*Average Cost of Customer Lifetime)-Customer Acquisition Cost
Compound Annual Growth Rate
​ Go Compound Annual Growth Rate = (((Ending Value/Starting Value)^(1/Number of Years to Track Growth))-1)*100
Cost Per Hire
​ Go Cost Per Hire = (External Recruiting Expenses+Internal Human Resource Expenses)/Successful Hires
Customer Retention Rate
​ Go Customer Retention Rate = (Existing Customers-Customers at Beginning)/Customers at Beginning
Customer Selling Price
​ Go Customer Selling Price = Cost Price+(Profit Margin Percentage*Cost Price)
Revenue Share of Requirements
​ Go Revenue Share of Requirement = Brand Purchases/Total Category Purchased by Brand Buyers
Employee Turnover Rate
​ Go Employee Turnover Rate = (Employees Separated/Average Number of Employees)*100
Sales Win Rate
​ Go Sales Win Rate = (Sales Opportunities Won/Sales Opportunities Contacted)*100
Brand Development Index
​ Go Brand Development Index = (Brand Sales Percentage/Total Market Segment)*100
Website Conversion Rate
​ Go Website Conversion Rate = (Total Goal Completion/Number of Visits)*100
Absenteeism Rate
​ Go Absenteeism Rate = Total Unplanned Leave/Number of Working Days*100
Sales Cycle
​ Go Sales Cycle = Days Spent on Sales Won/Sales Opportunities Contacted
EBIT
​ Go Earnings Before Interest and Taxes = Revenue-Operating Expense
Market Penetration
​ Go Market Penetration = (Customers/Total Population)*100

EBIT Formula

Earnings Before Interest and Taxes = Revenue-Operating Expense
EBIT = R-OPEX

How to Calculate EBIT?

EBIT calculator uses Earnings Before Interest and Taxes = Revenue-Operating Expense to calculate the Earnings Before Interest and Taxes, EBIT (Earnings Before Interest and Taxes) is a measure of a firm's profit that includes all expenses except interest and income tax expenses. Earnings Before Interest and Taxes is denoted by EBIT symbol.

How to calculate EBIT using this online calculator? To use this online calculator for EBIT, enter Revenue (R) & Operating Expense (OPEX) and hit the calculate button. Here is how the EBIT calculation can be explained with given input values -> 8746 = 10000-1254.

FAQ

What is EBIT?
EBIT (Earnings Before Interest and Taxes) is a measure of a firm's profit that includes all expenses except interest and income tax expenses and is represented as EBIT = R-OPEX or Earnings Before Interest and Taxes = Revenue-Operating Expense. Revenue is the income that a business has from its normal business activities, generally from the sale of goods and services to customers & Operating Expense is an expense incurred in carrying out an organization's day-to-day activities, but not directly associated with production.
How to calculate EBIT?
EBIT (Earnings Before Interest and Taxes) is a measure of a firm's profit that includes all expenses except interest and income tax expenses is calculated using Earnings Before Interest and Taxes = Revenue-Operating Expense. To calculate EBIT, you need Revenue (R) & Operating Expense (OPEX). With our tool, you need to enter the respective value for Revenue & Operating Expense and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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