Profit is the difference between
A) assets and liabilities
B) the incoming cash and outgoing cash
C) the assets purchased with cash contributed by the owner and the cash spent to operate the business
D) the amounts received from customers for goods or services and the amounts paid for the inputs used to provide the goods or services.

Question

Quizplus · Accepted Answer

Profit is the amount of money a business earns after deducting the expenses from its revenue. In other words, it is the difference between the amounts received from customers for goods or services and the amounts paid for the inputs used to provide the goods or services. Choices A, B, and C do not accurately describe the concept of profit.

Profit Is the Difference Between