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Topic
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please help me review basic wording with me.
Sales
– COGS
= Gross Profit
– Operating Expenses
= EBIT, Operating Profit, or Operating Income
– Interest Revenue or Expense
= Income before income tax or EBT
– Income Tax
= Net Income
First of all, do I understand those correctly?
Second of all, what is Net Operating Income and where should it be located above?
I struggle with a ratio problem (ROI) from Wiley testbank.
Well, it says ROI = Net Operating Income / Average Invested Capital.
I assume ROI = Net Income / Average Invested Capital.
some say NOI is like EBIT and some say like Net Income…
at last, so ROI =…..I think I am confused.. please help, many thanx!!!
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