Purchase Solution

Budgeting and Forecasting: Define gross profit

Not what you're looking for?

Ask Custom Question

The income statement shows gross profit, which is equal to:
earnings before taxes minus taxes.
gross revenues minus returns and allowances.
net sales minus cost of goods sold.
operating income minus interest.
operating income minus operating expenses.

Purchase this Solution
Solution Summary

The expert examines budgeting and forecasting to define gross profits.

Solution Preview

Solution:
Gross profit is equal to Net Sales minus cost of goods sold.

Explanation: Gross profit or gross margin is defined as excess of ...

Purchase this Solution
Free BrainMass Quizzes
Operations Management

This quiz tests a student's knowledge about Operations Management

Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

View More Free Quizzes
Related BrainMass Solutions

  • Forecasting Modeling Budgeting

    Forecasting modeling budgeting is examined.

  • profitability ratios

    315764 Budgeting and Forecasting Help answer the following budgeting and forecasting problems in at least 300 words. What are profitability ratios? Who uses them and why? What do Dell and HP's profitability ratios suggest?

  • Linear Programming with decision variables and constraints

    Projects Team Budgeting Information Volunteers Forecasting A 32 35 15 27 B 38 40 18 35 C 41 42 25 38 D 45 45 30 42 1. Define the linear programming model with its decision variables and its constraints. 2.

  • Tom's Toyota Company: static budget, flexible budget

    Define a "Static Budget." Question 3. Define a "Flexible Budget." Question 4. Define the term "Zero-based Budgeting." Question 5. Define "Period Budgets." Question 6. Define "Rolling Budgets." Question 7.

  • Why is forecasting important to an organization?

    Usually, the long-term capital projects are "more integrated with marketing plans and strategic goals" whereas "forecasting focus's on cash and profit planning.

  • Forecasting and Budgeting

    267304 Forecasting and Budgeting: TVM's Role in Finance Define the difference between forecasting and budgeting. What is meant by the time value of money? What is the Time Value of Money's role in finance?

  • Forecasting, Budgeting, Operating Budgets, Cash Budgets, TVM

    268316 Difference between forecasting and budgeting, operating and cash budgets; TVM Define the difference between forecasting and budgeting. What is the difference between an operating budget and a cash budget?

  • Developing a Financial Forecast for the Division

    Comparison between Forecasting Process and Budgeting Process: Forecasting and budgeting both are related and have similar objectives. Both are related to the future events and involve prediction of future objectives.

  • non profit financial operations

    567048 non profit financial operations Can you recommend technological solutions that could improve the efficiency and effectiveness of finance and budgeting within a nonprofit organization. And how?

View More Related Solutions