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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › terminology
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.
It is confusing because in other exams they may sometimes mean different.
However for F9, what you have typed is correct.
Thanks for clarifying that for me.
You are welcome 🙂
