Net profit is equal to ______?
Accounting / Accounting MCQs — Multiple-choice practice
خالص منافع ______ کے برابر ہے؟
- A. Sales less cost of sales and operating expenses
- B. Gross Profit less operating expenses
- C. None of these
- D. Both A and B
Correct answer
Both A and B
Explanation
Explanation Sales less operating expenses – Net profit is calculated after deducting all operating expenses from total sales. Gross profit less operating expenses – Gross profit is derived from sales minus the cost of sales, and deducting operating expenses from it gives net profit.
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