Difference between revisions of "Gross profit"
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==Related concepts== | ==Related concepts== | ||
*[[Accounting]] (alternatively known as [[accountancy]]) is management of [[financial data]], information, and knowledge about [[financial transaction]]s of [[legal entity|legal entiti]]es. [[Accountancy]] tends to include [[bookkeeping]] and, depending on a particilar enterprise, may also include [[quatitative analysis]] of [[financial data]] in the [[bookkeeping system]] and/or [[business intelligence]]. | *[[Accounting]] (alternatively known as [[accountancy]]) is management of [[financial data]], information, and knowledge about [[financial transaction]]s of [[legal entity|legal entiti]]es. [[Accountancy]] tends to include [[bookkeeping]] and, depending on a particilar enterprise, may also include [[quatitative analysis]] of [[financial data]] in the [[bookkeeping system]] and/or [[business intelligence]]. | ||
| + | *[[Loss]]. A loss occurs when the gross profit of a business is less than the expenses the business has to pay to keep the business running. This is usually called a Net Loss. | ||
| + | *[[Net profit]]. The result after taking expenses away from the Gross Profit or Loss. | ||
| + | *[[Income]]. Money that is earned by a business through the sale of products or services. | ||
| + | *[[Profit]]. The difference between income earned and expenses paid. The greater the profit the better for business. | ||
==Related coursework== | ==Related coursework== | ||
Revision as of 20:00, 21 December 2018
Gross profit is net sales less cost of goods sold.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
Related concepts
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.
- Loss. A loss occurs when the gross profit of a business is less than the expenses the business has to pay to keep the business running. This is usually called a Net Loss.
- Net profit. The result after taking expenses away from the Gross Profit or Loss.
- Income. Money that is earned by a business through the sale of products or services.
- Profit. The difference between income earned and expenses paid. The greater the profit the better for business.
