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What is EBITDA? - Definition & Formula

Instructions:

Choose an answer and hit 'next'. You will receive your score and answers at the end.

question 1 of 3

Often referred to as the profit and loss statement, the _____ displays revenues and expenses for a given period, showing a bottom line profit or loss for the company.

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1. _____ include selling expenses, general and administrative expenses, depreciation, and amortization.

2. _____ is equal to sales minus costs of goods sold and operating expenses.

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About This Quiz & Worksheet

This brief quiz and worksheet will assess your understanding of EBITDA, including the formula used to calculate it. The quiz has five short multiple-choice questions.

Quiz & Worksheet Goals

Verify your knowledge of the following with this assessment:

  • Document often referred to as the profit and loss statement that displays revenues and expenses for a given period, showing a bottom line profit or loss for the company
  • Type of expense that includes selling expenses, general and administrative expenses, depreciation, and amortization
  • What's equal to sales minus costs of goods sold and operating expenses
  • Formula for calculating EBITDA
  • What EBITDA stands for

Skills Practiced

  • Knowledge application - use your knowledge to answer a question about what EBITDA stands for
  • Critical thinking - apply relevant concepts to examine information about the document often referred to as the profit and loss statement in a different light
  • Information recall - access the knowledge you've gained regarding the formula used to calculate EBITDA

Additional Learning

To continue your studies, you can review the related lesson titled What is EBITDA? - Definition & Formula. Here's the type of information you'll find in this lesson:

  • Basic income statement
  • Operating expenses vs. non-operating expenses
  • Depreciation
  • Taxes
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