Difference between revisions of "Net operating profit after taxes"
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==Definitions== | ==Definitions== | ||
According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]], | According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]], | ||
| − | :[[net operating profit after taxes|NOPAT]] ([[net operating profit after taxes]]). The amount of profit a company would generate if it had no debt and no financial assets. | + | :[[net operating profit after taxes|NOPAT]] ([[NOPAT|net operating profit after taxes]]). The amount of profit a company would generate if it had no debt and no financial assets. |
| + | According to [[Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition)]], | ||
| + | :[[Net operating profit after taxes]] ([[NOPAT]]). The profit a company would generate if it had no debt and held only operating assets. | ||
==Related concepts== | ==Related concepts== | ||
Latest revision as of 17:59, 1 November 2019
Net operating profit after taxes (also known by its acronym, NOPAT) is the amount of profit a company would generate if it had no debt and no financial assets.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- NOPAT (net operating profit after taxes). The amount of profit a company would generate if it had no debt and no financial assets.
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Net operating profit after taxes (NOPAT). The profit a company would generate if it had no debt and held only operating assets.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
