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Manuel Casillas
on Nov 18, 2024

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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

Profit

The financial gain calculated as the difference between revenue generated and expenses incurred by a business.

Assets and Liabilities

These represent a company's resources (assets) and obligations (liabilities).

Incoming Cash

Money received by an organization, representing inflows from various sources like sales, investments, or loans.

  • Comprehend the essential elements of income, expenses, and profit as they pertain to accounting practices.
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Poonam SaxenaNov 23, 2024
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