Net sales (or revenue) minus all expenses except income taxes, specifically COGS, other revenue-driven expenses, fixed operating expenses, and interest expenses.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA):
Calculated by looking at earnings after COGS, other sales-driven expenses, and fixed operating expenses have been removed from revenue, but before interest, taxes, depreciation, and amortization are taken into account.
Effectiveness:
Creating new or additional impact on an organization ‚ s financial measures or financial statements such that the impact makes a significant or sizable difference to the success of the organization.
Efficiency:
Delivering the same level of benefit as before but at a lower intervention cost.