What is profit?
A) Total money taken in by a corporation
B) Increases in income from year to year
C) Increases in a corporation's stock price
D) Revenue generated by goods and services
E) Difference between revenues and expenses

Question

Quizplus · Accepted Answer

Profit is the difference between revenues (total money taken in by a corporation from goods and services) and expenses (costs incurred by the corporation). In other words, it is the amount of money a company earns after deducting all of its expenses. Choice A refers to revenue, choice B refers to income growth, choice C refers to stock performance, and choice D refers to revenue generation but does not take into account expenses.

What Is Profit