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]]. | ||
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*[[Income]]. Money that is earned by a business through the sale of products or services. | *[[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. | *[[Profit]]. The difference between income earned and expenses paid. The greater the profit the better for business. | ||
Revision as of 20:49, 21 December 2018
Gross profit is net sales less cost of goods sold if the sales are bigger than the costs. Otherwise, the result is called gross loss.
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.
- 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.
