Gross Profit vs Net Profit - Acc 311, The University of Texas

in Chapter 3 (Video 2 of 5)

6 minutes

Gross vs Net? What do those words mean? What's the difference between those two "profits"?

This Video Mentioned Some Formulas

Profit Margin = Net Income / Sales Revenue

Sales

– COGS

Gross Profit

Gross Profit Margin = Gross Profit / Sales Revenue

Gross Profit Ratio is the same as Gross Profit Margin

1	The Multistep Income Statement	12:44
2	Gross Profit vs Net Profit You are here.	6:15
3	Profit Margin	3:22
4	Cash vs. Accrual Accounting	7:21
5	Expense Recognition	8:07

	Click Here to View All Chapter 3 Problems at Once	View
1	Revenue Recognition	Easy
2	Determining Net Income From Transactions	Moderate
3	Determining Net Income From Journal Entries	Moderate
4	Calculating Operating Income	Hard
5	Revenue and Expense Recognition	Hard