What is the difference between EBIT and NOPLAT?
What will be an ideal response?
The acronym EBIT is earnings before interest and taxes. It represents the before-tax operating profit of the firm. The acronym NOPLAT is net operating profit less adjusted taxes. It is found by taking the taxes out of EBIT that would be paid by the all-equity firm. It is therefore the after-tax operating profit of the all-equity firm.
You might also like to view...
Assigning goals appears to generate greater goal commitment in
a. all cultures around the globe. b. in low individualism cultures. c. in low power distance cultures. d. in high power distance cultures. e. in high individualism cultures.
With regard to the account size in determining whether to use an external agency or perform the work in-house, the following statements are true, except:
A) a small account is not usually attractive to a large agency B) if 75% of the money cannot be used to buy media time and space, it is better to perform the work in-house C) if the agency charges more than 25% of the money to design and create the ads, then the account is too small to use an external agency D) a small agency is not a viable choice, even for a small account, because the agency will lack the necessary resources to do the work