Gross profit is revenue minus the cost of goods sold (COGS), which are the direct costs attributable to the production of the goods sold in a company. This amount includes the cost of the. Seringkan anda bertanya, Apa Perbedaan EBITDA dan Laba Kotor dalam Laporan Keuangan. Sebenarnya kalau dilihat langsung dalam LK emiten tidak terlihat letak EBITDA ini, jadi kadang harus dihitung sediri. Yang membedakan antara keduanya sebenarnya ada pada non-cash charge nya. Kalau laba bruto memasukkan semua, termasuk depresiasi (penyusutan) dan amortisasi.
Revenue vs. Profit: An Overview
Revenue is the total amount of income generated by the sale of goods or services related to the company's primary operations. Profit, typically called net profit or the bottom line, is the amount of income that remains after accounting for all expenses, debts, additional income streams and operating costs.
What Is The Difference Between Revenue And Profit?Revenue
Revenue is often referred to as the top line because it sits at the top of the income statement. The revenue number is the income a company generates before any expenses are taken out.
For example, with a shoe retailer, the money it makes from selling shoes before accounting for any expenses is its revenue. If the company also has income from investments or a subsidiary company, that income is not considered revenue; it does not come from the sale of shoes. Additional income streams and various types of expenses are accounted for separately.
Profit
Aurora keyscan software. Also referred to as the bottom line, profit is referred to as net income on the income statement. There are variations of profit on the income statement that are used to analyze the performance of a company.
However, there are other profit margins in between the top line (revenue) and bottom line (net profit); the term 'profit' may emerge in the context of gross profit and operating profit. These are steps on the way to net profit.
Gross profitis revenue minus the cost of goods sold (COGS), which are the direct costs attributable to the production of the goods sold in a company. This amount includes the cost of the materials used in creating the good along with the direct labor costs used to produce the good.
Operating profit is gross profit minus all other fixed and variable expenses associated with operating the business, such as rent, utilities, and payroll.
Example: Revenue vs. Profit
Below are the figures and the income statement portion for J.C. Penney for 2017. The numbers were reported on their 10K annual statement, page 46, closing on February 03, 2018.
Key Differences
When most people refer to a company's profit, they are not referring to gross profit or operating profit, but rather net income, which is the remainder after expenses, or the net profit. It's possible for a company to generate revenue but have a net loss. We can see that J.C. Penney suffered a loss on the bottom line of $116 million, despite earning $12.5 billion in revenue. The loss occurs typically when debts or expenses outstrip earnings, as in the case of J.C. Penney.
Special Considerations
Accrued revenue is the same as unrealized revenue. Accrued revenue is the revenue earned by a company for the delivery of goods or services that have yet to be paid by the customer.
For example, a company sells widgets for $5 each on net-30 terms to all of its customers and sells 10 widgets in August. Since it invoices its customers on net-30 terms, the company's customers won't have to pay until 30 days later, or on September 30. As a result, the revenue for August will be considered accrued revenue until the company receives customer payment.
From an accounting standpoint, the company would recognize $50 in revenue on its income statement and $50 in accrued revenue as an asset on its balance sheet. When the company collects the $50, the cash account on the income statement increases, the accrued revenue account decreases, and the $50 on the income statement will remain unchanged.
It's important not to confuse accrued revenue with unearned revenue; unearned revenue can be thought of as the opposite of accrued revenue.
Unearned revenue accounts for money prepaid by a customer for goods or services that have not been delivered. If a company requires prepayment for its goods, it would recognize the revenue as unearned, and would not recognize the revenue on its income statement until the period for which the goods or services were delivered.
Key Takeaways
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When your company turns a profit, you might refer to it simply as 'money.' To accountants, profits can have various names: income, revenue, profit, net income, net profit and more. 'Net income' and 'net profit after tax' mean the same thing: the amount left after you subtract expenses and taxes from your earnings.
Your Income Statement
Your income statement measures how profitable you are by adding up all your income for a given period, then subtracting all your expenses. The exact format varies depending on the kind of income and expenses you have. A statement can include separate lines for the money you made from business operations, the money you earned from investments and the money from rare events, such as winning a lawsuit.
Separating income types is important. If you didn't enter revenue and investment income separately, a year of profitable investments could hide that you made almost nothing from sales. Likewise, you need to separate extraordinary losses – a fire burned down a factory, for instance – from recurring expenses such as salaries.
Revenue, Income and Profit
Autocad 2009 software free download full version with crack. Different terms come into play as you work your way down the income statement. A given statement might not include all of them:
All this information is valuable for judging your company's performance. How much sales revenue did you earn? If your operating income is a lot smaller than your revenue, are your expenses too high? Is your net income or net profit after tax as high as it needs to be?
Future Tax Liabilities
Suppose you make out the income statement for the second quarter of the year. You report any taxes you paid as an expense, but not taxes you owe. If your taxable income for the quarter was $1.2 million, that may add up to a sizable tax bill. As you haven't paid it, it doesn't affect your income.
Instead, you report taxes you'll pay in the near future as a liability on the balance sheet. You report any deferred taxes as a liability, too. If you're due a tax refund but you haven't received the check, list the pending refund as an asset on the balance sheet rather than as income on the income statement.
References (5)About the Author
Fraser Sherman has written about every aspect of business: how to start one, how to keep one in the black, the best business structure, the details of financial statements. He's also run a couple of small businesses of his own. He lives in Durham NC with his awesome wife and two wonderful dogs.
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Sherman, Fraser. 'What Is the Difference Between Net Income & Net Profit After Tax?' Small Business - Chron.com, http://smallbusiness.chron.com/difference-between-net-income-net-profit-after-tax-20663.html. 04 February 2019.
Sherman, Fraser. (2019, February 04). What Is the Difference Between Net Income & Net Profit After Tax? Small Business - Chron.com. Retrieved from http://smallbusiness.chron.com/difference-between-net-income-net-profit-after-tax-20663.html
Sherman, Fraser. 'What Is the Difference Between Net Income & Net Profit After Tax?' last modified February 04, 2019. http://smallbusiness.chron.com/difference-between-net-income-net-profit-after-tax-20663.html
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