ICRA Analytics Lead Financial Analyst Interview Questions and Answers

Dual effect of transactions refers to the impact of a transaction on both sides of the balance sheet.

• Every transaction has two effects - a debit and a credit

• Debit refers to an increase in assets or a decrease in liabilities

• Credit refers to a decrease in assets or an increase in liabilities

• For example, when a company borrows money, it increases its cash balance (debit) and increases its liabilities (credit)

EBITDA is a measure of a company's financial performance and is calculated as revenue minus expenses, excluding taxes, interest, depreciation, and amortization.

• EBITDA is a financial metric used to evaluate a company's profitability and financial health.

• It is calculated by subtracting operating expenses from revenue and adding back depreciation and amortization expenses.

• EBITDA is often used by investors and analysts to ...read more