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Why Banking companies didn't show EBIT in income statement?
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Answer / hitesh kukreja
Major part of the expenses (More than 90%) of a Bank, is
the Interest payed by it.
Hence the EBIT is 10 times more than PAT, or even more, &
hence does not reflects the efficiency of the bank.
| Is This Answer Correct ? | 9 Yes | 1 No |
Answer / raju k
A Banking institution licenced, for accepting deposits
from public and lending loans to the public.
Revenue for a banking company is the sum of net income
earned from interest by lending loans and
other or non interest income.
| Is This Answer Correct ? | 2 Yes | 10 No |
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