Why is EBITDA used to assess a firms ability to meet its interest obligations?

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Why is EBITDA used to assess a firm’s ability to meet its interest obligations?

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Corporate Finance

ISBN: 9780132992473

3rd Edition

Authors: Jonathan Berk, Peter DeMarzo

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Question Posted: Mar 07, 2024 01:01 AM

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Why is EBITDA used to assess a firms ability to meet its interest obligations?

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SOLUTION EBITDA Earnings Before Interest Taxes Depreciation and Amortization is used to assess a firms ability to meet its interest obligations becaus...View the full answer

Corporate Finance

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