Profit

The money remaining after all business expenses are subtracted from revenue.

Profit improves in exactly two ways, by raising revenue or by lowering costs, and most businesses work both levers at once.

Often confused with

Revenue: Profit is what is left over; revenue is the total taken in before costs.

Taught in

See also

1.2.A.3 · 1.5.C.1 · 3.6.A.1