The amount a business gets to keep, after paying for all costs and expenses, is termed:
A) gross margin
B) gross profit
C) net loss
D) net profit

Question

Quizplus · Accepted Answer

Net profit is the amount a business gets to keep after deducting all expenses and costs from its revenue. It is the final amount of profit earned by a business. Gross margin and gross profit are also important metrics in the financial statements, but they represent profits before subtracting all expenses. Net loss means the company's expenses exceed earnings, resulting in a negative overall profit.

The Amount a Business Gets to Keep, After Paying for All