acct209 at Texas A&M

2. Gross Profit vs Net Profit

in Chapters 5 & 6 (Video 2 of 14)
Gross vs Net? What do those words mean? What's the difference between those two "profits"?

This Video Mentioned Some Formulas

Profit Margin = Net Income / Sales Revenue
Sales
– COGS
Gross Profit
Gross Profit Margin = Gross Profit / Sales Revenue
Gross Profit Ratio is the same as Gross Profit Margin

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