Gross And Net Profit Flashcards
1
Q
Gross Profit + Net Profit
Definitions
A
Gross profit- Profit made after deducting the costs to make the product
Net Profit- Profit made once all deductions have been taken into account
2
Q
Gross + Net Profit
Formula
A
Gross profit = Revenue - variable costs
Net Profit = Revenue - Total costs
3
Q
Gross and Net profit margin
Formulas
A
Gross profit margin = gross profit/revenue x100
Net Profit margin = net profit/revenue x100
