8. Profit Before Tax (PBT):
Given below is the most typical and simple structure of a P/L statement:
8. Profit Before Tax (PBT)
Deducting Interest and Depreciation/Amortisation from EBITDA and then adding other income to it gives us the total profit of the company for the period after meeting all the expenses. Taxes need to be paid on this profit and hence it is known as PBT.
In the above example, PBT is Rs. 45.
