Saturday, March 9, 2019

Add Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) Section on Profit and Loss Report


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Below are the steps to add an Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) section in a Profit and Loss report.

1. Navigate to Reports > Financial > Income Statement > Customize Summary.

2. On the Edit Layout Page, click on the Net Income Section.

3. Change the Formula Label from Net Income to EBITDA.

4. Locate the Add Row/Section Dropdown > Select Add Financial Section > On the pop-up, select Create New Section > OK.

5. Set the Header Label to EBITDA Adjustments.

6. Under Section tab > Filter by Account Name is any of' > CTRL + Select the names of the expense accounts (ITDA) > OK.

7. Locate the Add Row/Section Dropdown > Select Add Formula Row.

8. Set the Formula Label to Net Income.

9. Formula Section should look like this:

1st line : 

Type = Row

Value = EBITDA

2nd Line :

Operator = +

Type = Row

Value = EBITDA Adjustments

10. Arrange the section layout. The Layout may look like this:

Ordinary Income/Expense
Income
Cost of Sales
Gross Profit
Expense
Net Ordinary Income/Expense
Other Income/Expense
Other Income
Other Expense
Total Other Income/Expense
EBITDA
EBITDA Adjustments (expense accounts)
Net Income 

11. Click on Save or Preview to view the result.

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