Question

Net Profit is 25% on sales and cost of sales is Rs. 1, 80,000.
How much is the Net profit?

Answer 1

Answer:

Net profit = 180000*25%

= 45000

Answer 2

Answer:

Concept:

$net \: profit = 180000 \times \frac{25}{125}$

$net \: profit = 36000$

Find:

How much is the Net profit?

Given:

Net Profit is 25% on sales and cost of sales is Rs. 1, 80,000.

Explanation:

Net profit is a measure of a company's earnings once operating expenses, taxes, interest and depreciation have been deducted from its total revenues. This term is often referred to as a company's "bottom line" and may also be described as "net profit" or "net income".

Profit is simply the amount of a company's income that remains after expenses. But more specifically, it's net profit, which is a single number that represents a certain type of profit. Net profit, or net income, is the famous bottom line on a company's financial statement.

Net income, also known as the bottom line, is the money left after subtracting all expenses from total revenue.

Net profit can refer to profit before or after tax, so some use "net profit" to clarify net profit after tax.

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