EBIT vs EBITDA: What You Must Know!

Sdílet
Vložit
  • čas přidán 13. 06. 2024
  • 💥Profitability Ratios Cheat Sheet → accountingstuff.com/shop
    The fourth instalment of our Financial Ratios series. In this video you'll learn what 'EBIT' and 'EBITDA' both mean, how to calculate them (with examples) and why they're important.
    ▪ EBIT stands for Earnings Before Interest and Taxes
    ▪ EBITDA stands for Earnings Before Interest, Taxes, Depreciation and Amortisation
    🔴Subscribe for more Accounting Tutorials → geni.us/subtothechannel
    🔗Financial Ratios Playlist → • Your Guide to FINANCIA...
    ⏱️TIMESTAMPS
    00:00 - Intro
    00:28 - What do EBIT and EBITDA both mean?
    00:56 - Where can you find EBIT and EBITDA?
    01:21 - How can you calculate EBIT?
    02:22 - How can you calculate EBITDA?
    03:30 - Example
    03:47 - Example: How to calculate EBIT
    04:45 - Example: How to calculate EBITDA
    07:08 - Why are EBIT and EBITDA important?
    🔎FAQ
    ▪ My Favourite Accounting Book for Beginners → geni.us/5mKR7m
    🔝 CLOUD ACCOUNTING SOFTWARE
    ▪ QuickBooks Online USA (FREE TRIAL/DISCOUNT) → geni.us/jA9N
    ▪ QuickBooks Online Canada (FREE TRIAL/DISCOUNT) → geni.us/bNN7
    ▪ Xero (FREE TRIAL) → xeroamericas.grsm.io/ck90eoq1...
    🚶FOLLOW ME ON
    ▪ Instagram → / accountingstuff
    ▪ TikTok → / accounting_stuff
    ▪ Facebook → / thisisaccountingstuff
    🎬LEARN ACCOUNTING BASICS FOR FREE
    ▪ The Full Playlist → • ACCOUNTING BASICS for ...
    ________________________
    DISCLAIMER
    Some of the links above are affiliate links, where I earn a small commission if you click on the link and purchase an item. You are not obligated to do so, but it does help fund these videos in hopes of bringing value to you!
    ________________________
    #accounting #accountingstuff #financialratios

Komentáře • 133

  • @TheGippy30
    @TheGippy30 Před 2 lety +54

    James I’m so glad you haven’t given up, you’ve great great style of delivery and passion, keep up the great work you’re the best

  • @nthwndroregano6604
    @nthwndroregano6604 Před 2 lety +22

    Best accounting teacher on CZcams, keep making videos please! 😁

  • @lambsauce_apex7118
    @lambsauce_apex7118 Před 2 lety +16

    James you carried my accounting exam with your amazing videos :) amazing work and crazy how you can teach me accounting ten times better in three days compared to my professors in 4 months

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +4

      Hope your exams went well!!

    • @lambsauce_apex7118
      @lambsauce_apex7118 Před 2 lety

      @@AccountingStuff i got a 2.0 what for me at least is a very good grade in accounting so thank you 🤗

  • @mr.latebloomer
    @mr.latebloomer Před 2 lety +3

    following you since college. ❤️

  • @pacificreef6391
    @pacificreef6391 Před rokem

    Thank you James, I watched this lecture twice for my CPA preparation. Shout out to you.

  • @gabrielsanchez3683
    @gabrielsanchez3683 Před 2 lety +3

    You have a way of explaining things so clearly. You have a gift man! keep it up!

  • @azkavan1
    @azkavan1 Před 2 lety +4

    James, it’s funny you uploaded a video today, I was trying to contact you to thank you for everything you’ve done to help us learn accounting. I recently started a masters in accounting in nyc and I’ve been going through your videos and I also bought all your cheat sheet. Please keep on going we all love the way you just make accounting a joy to learn. Thank You 🙏🏼

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +2

      Cheers Anaf, best of luck in your masters!! I hope you smash it :)

  • @elvira75295
    @elvira75295 Před 2 lety +3

    I'm glad you're back 😊

  • @jordynelie245
    @jordynelie245 Před 2 lety +1

    I clicked on this video because I subscribe to the channel and was curious about the content of this one.
    Then literally the next day we start talking about this in both my finance and acct classes! So glad I looked!

  • @aceshylus_i722
    @aceshylus_i722 Před 2 lety +1

    I'm really grateful that your channel exists!

  • @jamongjuice
    @jamongjuice Před 2 lety +1

    Omg!! I have watched every single one of your videos! Finally a new one!!! Thanks bunches!

  • @nhloniphogumede
    @nhloniphogumede Před 2 lety +2

    We love you James !! keep up the good work ...
    ~ from South Africa.

  • @AmokZuta
    @AmokZuta Před 2 lety +2

    Happy to see you again ❤️

  • @mohamedeassa
    @mohamedeassa Před 2 lety +3

    Return of the king

  • @chibuezedaike9331
    @chibuezedaike9331 Před 2 lety +1

    James is back, nice one

  • @KimTran-uv1ib
    @KimTran-uv1ib Před 2 lety +1

    Hi James,
    Welcome to Sydney!
    Glad to see your videos

  • @Nickelectric
    @Nickelectric Před 2 lety

    James your explanations are always great

  • @niteshsharma7396
    @niteshsharma7396 Před 2 lety +1

    Thank you James, and good to see you back. I am also in Sydney, lets plan to catchup. Again great video and you have such great knowledge of finance. :)

  • @surendarsivaprakasam4035
    @surendarsivaprakasam4035 Před 2 lety +6

    Absolutely useful!

  • @soapshowdown4721
    @soapshowdown4721 Před 2 lety +2

    Hey man, great vid! I appreciate your summaries and explanations. (I also bought you cheat sheets on most accounting concepts). My curiosity is unsatisfiable so when you say that EBIT and operating profit are the same, USUALLY, its drives me crazy to not hear about the exceptions. to google I go. Great to see youre back to making new content!

  • @josephchiyokoma5748
    @josephchiyokoma5748 Před 2 lety +1

    You are the best!! ♥️ Am Jay From Southern Africa, Zambia 🇿🇲

  • @Khanbaba-kt8gz
    @Khanbaba-kt8gz Před 2 lety

    The best accounting channel...!

  • @Wale_mo
    @Wale_mo Před 2 lety

    Welcome back James, pls continue the good work. I like you♥️

  • @MrDCD007
    @MrDCD007 Před 2 lety +1

    Hi James happy to see you again all the best

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +2

      Cheers Derick, hope all's well with you!

    • @MrDCD007
      @MrDCD007 Před 2 lety +1

      @@AccountingStuff hi James going very well completing 5 years tomorrow

  • @antoniovargas225
    @antoniovargas225 Před 6 měsíci

    great video james !!!

  • @graceyim2941
    @graceyim2941 Před 2 lety

    Good to see you again, James. Take care in a new country. All the very very best in whatever goal you set for yourself. 🐠🦉🐨

  • @josephchiyokoma5748
    @josephchiyokoma5748 Před 2 lety +1

    Something new to learn!!

  • @deebaji
    @deebaji Před 2 lety

    Very Informative video n appreciate the way of teaching..

  • @vivek.singhg
    @vivek.singhg Před 2 lety +1

    Finally you are back

  • @samirrashid1949
    @samirrashid1949 Před rokem +1

    This was my recommendation!

  • @MrIsla011
    @MrIsla011 Před 2 lety

    Amazing Thanks so much :)

  • @gibsonchari6393
    @gibsonchari6393 Před rokem +1

    YOU ARE VERY GOOD

  • @enigmagrl-gm7gm
    @enigmagrl-gm7gm Před rokem

    Hi your videos are really helping through a very intense accounting part of my course. Any chance you could do one on bad debts? I can’t seem to find one on your list.

  • @bowen.bo_en
    @bowen.bo_en Před 9 měsíci

    Clear explanations for non-finance major students

  • @vasimrajam
    @vasimrajam Před 5 měsíci

    James,well done & keep move on.

  • @monah2030
    @monah2030 Před 2 lety +3

    Hi James
    I just start online accounting and book keeping course. Totally new to me . What’s the best way to do my course. Watch your videos and I’ve learnt a lot . Welcome to Sydney 😀

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +1

      Good on you! I'd spend a decent amount of time on the basics because there are a few principles that underpin the whole of Accounting. Once you fully understand how they work then everything becomes much easier.

  • @prakashjoshi4933
    @prakashjoshi4933 Před 2 lety +3

    Hi James, thanks for this, could you please make a Video on difference in CPA and CA job difference.

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +1

      Thanks for your request!

    • @dontlookatmyusername
      @dontlookatmyusername Před 2 lety

      czcams.com/video/u_k-Sq5BwXE/video.html
      Try this, Amanda was a teacher of mine and is epic. James welcome back to Sydney hope you're in Manly not Bondi.

  • @Mike-lr1xh
    @Mike-lr1xh Před 2 lety +1

    you are amazing. please can you do derecognition of assets (PPE)

  • @tracyliu2497
    @tracyliu2497 Před 2 lety +1

    Hi James, can you please talk about the DTL and DTA in your next video? Thanks!

  • @samburdge9948
    @samburdge9948 Před 2 lety +1

    Appreciate your work…..you ever think about starting a managerial accounting playlist or quick books or excel, oracle et cetera or other accounting, economics, actuarial science, investment or finance…..god bless…..r ye Scottish

  • @monah2030
    @monah2030 Před 2 lety +1

    Hi James
    Just start online accounting and book keeping course. Completely new to me . Watch your videos and I’ve learnt a lot . What do you recommend? Welcome to Sydney 😀

  • @faizanshabir8193
    @faizanshabir8193 Před 2 lety +1

    Please make videos on International Accounting Standards, Financial Ratios & Provision for bad debts.

    • @Wale_mo
      @Wale_mo Před 2 lety

      This will be great, James pls do video on standard IAS, IFRS and others. Thanks

    • @AccountingStuff
      @AccountingStuff  Před 2 lety

      Thanks for your request!

  • @meshaklyn7
    @meshaklyn7 Před 2 lety +3

    Hi James 👋, thank you so much 😊. Can you please do a video on Petty Cash Book😭😭one day.

  • @CypriotJumanji
    @CypriotJumanji Před 2 lety

    have you got any videos on the journals for hire purchases?

  • @toluogu6120
    @toluogu6120 Před 2 lety

    Great Video, Could you please do one on VAT returns.

  • @claudiaquirogablanco3224
    @claudiaquirogablanco3224 Před 2 lety +1

    Hello James a silly request can you explain MARK UP AND MARGINS please please please por favorcito

  • @timtio3373
    @timtio3373 Před 2 lety

    James are there any books one can access to understand accounting in real-world settings?

  • @youtuber.9624
    @youtuber.9624 Před 2 lety +1

    Hi James,
    Do you have a video that explains the accounting standards (GAAP & IFRS)?
    If not, can you make one, please?
    Thank you.

  • @FitRadio
    @FitRadio Před 2 lety

    Welcome back! i believe a DTA and DTL video would be great! What do you think?

  • @tawananyashadhakwa7874
    @tawananyashadhakwa7874 Před 2 lety +1

    Please do a video on Control accounts

  • @eynerquispesanchez7742
    @eynerquispesanchez7742 Před 2 lety +1

    interesting

  • @Ksharma112
    @Ksharma112 Před 2 lety +1

    Hlo James! Please make a video on fund flow statement please...

  • @rose-pq8nh
    @rose-pq8nh Před 2 lety +1

    Can make vedio on how to handle small business

  • @MandeepKaur-is1nb
    @MandeepKaur-is1nb Před 2 lety +1

    How about EBITD earnings before interest and tax and dividend???

  • @budakamerika
    @budakamerika Před 7 měsíci

    you always so funny!!!!!! XD i enjoy your little jokes in all videos i laughed so hard seeing them lollll. and thanks for the great explanation

  • @scottmponthie3537
    @scottmponthie3537 Před 2 lety

    Can someone explain to be the difference between an account and a journal?

  • @maestrovoltar707
    @maestrovoltar707 Před 2 lety

    Hi please can you make a video about irrecoverable and doubtful debts?

  • @nadirbaig156
    @nadirbaig156 Před rokem

    How make the trial balance income statement and balance sheet in construction company with example.

  • @bharathidilipan.t9486
    @bharathidilipan.t9486 Před 2 lety

    Can you explain the concept working capital, I am very much confused how the negative working capital is good in certain cases? If the current ratio is less than 1 how could the business pay its short term debts

  • @aminedarjaj9259
    @aminedarjaj9259 Před 2 lety

    can you plz make a video about bad dept/allowance for doubtful accounts??

  • @pubuduwijesinghe6671
    @pubuduwijesinghe6671 Před 2 lety

    How to calculate Free cash flow?

  • @charismabatharadewa5818

    is EBIT equals to Profit before tax?

  • @AMAL_AMPZ
    @AMAL_AMPZ Před 2 lety +1

    🔥🔥🔥

  • @user-xedwsg
    @user-xedwsg Před rokem

    EBIT vs operating income?

  • @ellenoir5678
    @ellenoir5678 Před 2 lety +1

    So EBITDA is the value of the company correct?

    • @AccountingStuff
      @AccountingStuff  Před 2 lety +1

      Not exactly, this could be a topic for a future vid :)

    • @ellenoir5678
      @ellenoir5678 Před 2 lety

      Notification stays on my brother lol

  • @reanwithkimleng
    @reanwithkimleng Před měsícem

    ❤❤❤❤

  • @ihateladygagaposers9
    @ihateladygagaposers9 Před 2 lety

    Bought your cheat sheets a couple weeks ago. And cant figure them out to be helpful for me. I emailed you and havent heard back

    • @AccountingStuff
      @AccountingStuff  Před 2 lety

      Thanks for supporting the channel! The cheat sheets contain all the key information from my videos. You can use them as reference guides to help jog your memory on each topic.

    • @ihateladygagaposers9
      @ihateladygagaposers9 Před 2 lety

      Guess i thought they would be different

  • @Native_love
    @Native_love Před rokem

    Charlie Munger, "You can understand EBITDA statements a lot easier if you substitute in the word B###$#!+." Good to know but not in an investment.

  • @fabianrichburgh6517
    @fabianrichburgh6517 Před rokem +1

    why couldn't my teacher just say this

    • @madelineperry8112
      @madelineperry8112 Před měsícem

      Studying for the CIA part 3 with no accounting background and I said the same thing! The gliem prep book is not direct at all. This guy is a life saver!

  • @hudhaifa7580
    @hudhaifa7580 Před 2 lety +1

    Hey James i sent you dm on Instagram and hope u take the time to respond