Specific financial statements showing the company’s revenues and expenses during a particular period:
Sales revenue = price (of product) × quantity sold
Gross profit = sales revenue − direct cost ( cost of sales and cost of sold products )
Operating profit = gross profit − other indirect costs
EBITDA (earnings before interest, taxes, depreciation and amortization) = Operating profit − overheads
EBIT (earnings before interest and taxes) = EBITDA - Depreciation - Amortization
EBT (earnings before taxes, also called pretax profit) = EBIT - Interest
Net profit = EBT − tax
Retained earnings = Net profit − Dividends