What is GHI Corporation's EBITDA if their operating income is $50 million, with interest of $5 million and taxes of $15 million?

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To calculate GHI Corporation's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), it is important to start from the operating income, which is given as $50 million.

EBITDA can be derived from operating income by adding back any depreciation and amortization expenses. However, since these expenses are not provided in this question, and nothing indicates they exist, we can make a reasonable assumption for the calculation that they are zero or included in the operating income.

Interest and taxes are not included in the EBITDA calculation, as EBITDA aims to measure a company's operating performance independent of its capital structure (interest) and tax strategy. Hence, in this case, we only focus on the operating income of $50 million.

Thus, GHI Corporation's EBITDA is $50 million, aligning with the answer provided.

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