grumpyp7211n grumpyp7211n
  • 14-04-2019
  • Business
contestada

Why is gross profit more important than net profit

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rebelheartcd
rebelheartcd rebelheartcd
  • 14-04-2019
gross profit shows how much money you made in relation to the cost of goods sold, this calculation is very important when you need to know wether a product is profitable or not. Net profit also substracts the expenses (building machinery,etc).
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dhanyaj
dhanyaj dhanyaj
  • 03-06-2021

Answer:

Because gross proft shows your money before expenses, so you know your actual revenue/sales

Explanation:

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