EBITDAR is a measure of profitability, such as EBIT or EBITDA, that adjusts net income for internal analysis by excluding certain costs.
It’s better for casinos, restaurants, and other companies that have one-time or highly fluctuating rental or restructuring expenses, as these expenses are deducted from net income.
EBITDAR gives analysts insight into a company’s key operating performance, excluding non-operating expenses such as taxes, rent, restructuring costs and non-cash expenses.
The use of EBITDAR makes it easier to compare one firm to another by minimizing unique variables that are not directly related to transactions.
EBITDAR may unfairly exclude controllable costs, which may not hold management accountable for some of the costs incurred.
Evaluation costs are the fees a company pays for discovering defects in its products before they are delivered to customers; they are a form of quality control.
The articles of association can be seen as a user manual for the company, defining its purpose and outlining the methodology for carrying out the necessary day-to-day tasks.
When a company or government agency buys or leases existing manufacturing facilities to launch new manufacturing activities, this is called an investment in existing facilities.
The Code of Ethics sets out the ethical principles of the organization and the best practices to be followed with respect to honesty, integrity and professionalism.