Total Profit (Loss)
For the Main Formula:
Total Profit (Loss) = (Pre-tax profit excluding InvGain) + InvGain(Insurance Transactions) + InvGain(Capital & Surplus)
Is the left side of this equation really 'Total Pre-tax Profit (Loss)'? This is the numerator of the ratio they are asking us to find in question 13 from Spring 2015, correct?
Based on Fall 2012 #17a, it seems as though the 'Pre-tax profit excluding InvGain' term is really just UW income, is this incorrect?
Comments
Thank you for the clarification! So, is (pre-tax profit excluding InvGain) + InvGain(Insurance Transactions) + InvGain(Capital & Surplus) = Total pre-tax Profit (Loss)
Really, what I am asking is: In the Main Formula is the Total Profit (Loss) pre-tax? The first term on the right side of the equation being pre-tax but not having "pre-tax" on the left side of the equation just confuses me.
I have edited the formula to make it clearer. Thx.
Does pre-tax mean pre federal and foreign income taxes incurred?
Yes, correct.