* A negative tax, Geo Corp, is a tax rebate (credit). Subtracting a negative tax from EBIT is equivalent to adding a (po
Posted: Sat Feb 26, 2022 9:12 am
* A negative tax, Geo Corp, is a tax rebate (credit).
Subtracting a negative tax from EBIT is equivalent to adding a
(positive) tax rebate to EBIT. ** For each company the balance
sheet on the left (right) is the ending (starting) balance sheet.
*** Treasury stock is subtracted from the other liability accounts
because it is a “contra account”, an asset appearing on the
liability side of the balance sheet. Treasury stock itself is
either zero or positive.
Forgot to add this to my question....
Subtracting a negative tax from EBIT is equivalent to adding a
(positive) tax rebate to EBIT. ** For each company the balance
sheet on the left (right) is the ending (starting) balance sheet.
*** Treasury stock is subtracted from the other liability accounts
because it is a “contra account”, an asset appearing on the
liability side of the balance sheet. Treasury stock itself is
either zero or positive.
Forgot to add this to my question....