Which of the Following Is True in Using EBIT,EBITA,or EBITDA

question 3

Multiple Choice

Which of the following is true in using EBIT,EBITA,or EBITDA when estimating a firm's value?

• A)EBIT is superior to both EBITA and EBITDA.
• B)EBITA is superior to both EBIT and EBITDA.
• C)EBITDA is superior to both EBIT and EBITA.
• D)There is not a clear superiority of one measure over the others.It depends on the type of firm being analyzed.

---

Definitions:

Conceptual Properties

Features or attributes that are inherent to or define the nature of a concept, often abstract and not directly observable.

Garden Path Sentences

Sentences that lead readers or listeners to interpret them in one way, only to realize they need to revise their understanding mid-sentence.

Comprehension

The ability to understand and grasp the meaning of something, such as a text, concept, or situation.

Psychology

The scientific study of the mind and behavior, encompassing various aspects of human experience, mental functions, and individual and social behavior.