In today's financial markets, with so many mergers, acquisitions and business divestitures happening all the time, it is invaluable to break down net earnings into earnings from continuing operations versus profits from discontinued operations, asset sales or financing activities. This allows us to see what portion of current earnings the company can reasonably replicate in the future, and what are one-time occurrences and abnormal events.
Investment dictionary. Academic. 2012.
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