Question Details

	Username: LuckyMan Rating: Asked to: Dara Madee Date Created: 23 Feb 2018
Category	28
Tag	Financial
Question	What is 'Gross Profit'?

Advice from Guru

Hello LuckyMan,

Gross profit is the profit a company makes after deducting the costs associated with making and selling its products, or the costs associated with providing its services. Gross profit will appear on a company's income statement, and can be calculated with this formula:

Gross profit = Revenue - Cost of Goods Sold

Gross profit is also called sales profit and gross income.

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