GK
BUSINESS MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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true
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false
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Either A or B
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None of the above
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Detailed explanation-1: -Profit is a financial term that refers to any revenue left over after expenses are accounted for. In other words, profit is the difference between how much money is earned and how much is spent on operating or producing something at the end of a set period.
Detailed explanation-2: -There are three main measures of profit. These are gross profit, operating profit and net profit.
Detailed explanation-3: -Profit describes the financial benefit realized when revenue generated from a business activity exceeds the expenses, costs, and taxes involved in sustaining the activity in question.
Detailed explanation-4: -For example, say Company Z listed its gross profit for 2021 as $100, 000. This figure equals revenue minus the cost of goods sold. However, Company Z’s net income is reported as $45, 000. This total is the amount left over after operating costs and tax payments have been deducted from the company’s gross profit.