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terminology

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › terminology

  • This topic has 3 replies, 2 voices, and was last updated 12 years ago by AvatarJohn Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
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  • September 9, 2013 at 1:52 pm #140177
    Avatarneilsolaris
    Member
    • Topics: 58
    • Replies: 410
    • ☆☆☆

    Hi,

    I got myself a bit confused when going through some of the past F9 questions recently, and wondered if you could clarify these terms for me please?

    Would I be correct in saying that “PBIT”, “operating profit” and “net profit” are all terms that mean exactly same thing as each other? My confusion here is that I thought net profit was profit after interest and tax, until I checked the answers to the question.

    Also, would I be correct in saying that “profit for the year” , “profit after interest and tax” and “earnings” are the same thing? When I saw the figure for earnings in question JJG Co (June 09) it took me a while to figure out exactly what they meant!

    Thanks for your help.

    September 9, 2013 at 3:09 pm #140184
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54838
    • ☆☆☆☆☆

    It is confusing because in other exams they may sometimes mean different.

    However for F9, what you have typed is correct.

    September 9, 2013 at 4:53 pm #140204
    Avatarneilsolaris
    Member
    • Topics: 58
    • Replies: 410
    • ☆☆☆

    Thanks for clarifying that for me.

    September 10, 2013 at 8:58 am #140239
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54838
    • ☆☆☆☆☆

    You are welcome 🙂

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