Question

For businesses and entrepreneurs, which of these is generally considered to be the BEST measure of success? Question 1 options: net profit total revenue marginal cash marginal revenue

Answer 1

net profit is the Answer

Answer 2

We first define success :

This is the accomplishment of an aim.

In a business, there are aims and goals to be achieved and this can only be measured in monetary terms.

What shows that every activity in a business was successful is the profit that results from it.

Therefore the net profit is a measure of success.

We can define the meaning of net profit :

This represents the number of sales after all operating expenses, taxes, preferred stock dividends and interests have been deducted from the total revenue of a business enterprise.

This answers the question well.