ENTREPRENEURSHIP

Detailed explanation-1: -Net profit: When a business subtracts all its costs from its generated revenue, they are left with its net profit. It’s the most vital component of an income statement and what many executives and analysts look for. Businesses use their net amount to determine how much money they make in a given period.

Detailed explanation-2: -Gross profit is the money your business holds after deducting the cost of making and selling your product. Formula: Gross profit = Total revenue-Costs of goods sold.

Detailed explanation-3: -1:Income earned by an entrepreneur is residual in nature as the entrepreneur: bears the risk and the reward for bearing the risk is profit.

Detailed explanation-4: -An Entrepreneur is an innovator who brings in new ideas to create a successful business venture.

Detailed explanation-5: -Expenses are the costs a business incurs from its core operations, while revenue is the money it earns from selling products and services before paying expenses. Once you pay expenses, you get net income or profit, which equals the total revenues minus the total expenses from a given accounting period.