Question

Gross profit is the difference between net sales and cost of goods sold.

Answer 1

Helloo..
Gross profit  represents the productivity of a business's operations. A business's profitability is defined by more than its operations.
Net sales and cost of goods sold are the two most important measurements tied to know how effective a business operations are. When you subtract cost of goods from net sales, you determine the gross profit for the business.

Therefore; GP=NS - COGS

Hope it helps u out..

Answer 2

Gross profit is the profit a company makes after deducting the costs associated with making and selling it's product, or the costs associated with providing it's services.Gross profit= Revenue- Cost of goods sold.