Sir, at 1:24:22 you have written PAT=(s-c)(1-ot) and said that PAT does not consider depreciation...but at 1:30:09 ,again you written PAT=(s-c-d)(1-ot)...which is correct???
When we write in income statement we subtract depriciaction/amortization and total expences for getting profit before tax the tax is payed on that amount so the when we write profit after tax it is (R - E - D)*(1 - T) R = revanue, E = Expense (includes operational cost and non operational cost), D = depriciation, T = flat tax rate for referance just visit the format of income statement of any company
Sir, at 1:24:22 you have written PAT=(s-c)(1-ot) and said that PAT does not consider depreciation...but at 1:30:09 ,again you written PAT=(s-c-d)(1-ot)...which is correct???
When we write in income statement we subtract depriciaction/amortization and total expences for getting profit before tax the tax is payed on that amount so the when we write profit after tax it is (R - E - D)*(1 - T) R = revanue, E = Expense (includes operational cost and non operational cost), D = depriciation, T = flat tax rate
for referance just visit the format of income statement of any company