What are profits?

Question

What are profits?

Quizplus · Accepted Answer

Profits are the difference between the revenues earned by a corporation from the sale of goods and services and the expenses incurred in producing them. Option A refers to revenue or total money collected by corporation, option B refers to an increase in income rather than profit, option C refers to stock price which is influenced by several factors including profits but is not equal to profits alone, and option D refers to revenue generated by goods and services, which is a component of profit but not the same thing. Therefore, option E is the most accurate description of profits.

What Are Profits