Question

How to convert gross profit into net profit?

Answer 1

Calculate total sales. Add up all the money made from the sale of goods and services sold by your business. ...

Calculate the cost of goods sold (COGS). Add up the expenses associated with selling the products to generate a value for the cost of goods sold. ...

Determine Gross Profit. ...

Calculate Gross Profit Margin.

Answer 2

Steps

1. Calculate total sales.
2. Add up all the money made from the sale of goods and services sold by your business. ...
3. Calculate the cost of goods sold (COGS).
4. Add up the expenses associated with selling the products to generate a value for the cost of goods sold. ...
5. Determine Gross Profit.
...6. Calculate Gross Profit Margin.