| EBITDA is defined as earnings before interest, depreciation, taxes,
and amortization. EBITDA measures profitability. It is important
to note that EBITDA can be misleading as a cash flow evaluation tool
because it does not take into account cash used to fund working capital
or replace old equipment. |
| |
| To calculate EBITDA see line 21 of your business income tax return
and add back lines: 12, 13, 14a. |
| |
| EBITDA = Revenue - Expenses (excluding tax, interest, depreciation,
and amortization) |
| |
|
