What is Net profit ?

What is Net profit ?

Nielgrey Trainee Asked on October 31, 2014 in Accounting.
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2 Answer(s)

Net profit represents the number of sales dollars remaining after all operating expenses, interest, taxes and preferred stock dividends have been deducted from a company’s total revenue. It is referred to as the bottom line, net income or net earnings is a measure of the profitability of a venture after accounting for all costs.

pooja Trainee Answered on November 1, 2014.
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The final representation of how much money a company has earned from doing business over the course of a year, shown on the company’s income statement. It takes all the money a company has received from operating and subtracts all expenses, including operating expenses, financing costs, and taxes. Net profit is calculated as total revenue minus total expenses.

Henry Brown Trainee Answered on November 1, 2014.
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