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Need help in business
- Thread starter Alzaabi
- Start date
- Messages
- 132
- Reaction score
- 61
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- 38
Hey.
As you can see this is an example of an income statement, in which:
Sales - Cost of Sales = Gross profit - overheads (expenses) = net profit.
Therefore, 500 - 350 = 150 which is the Gross profit.
Then to get the overheads, subtract the net profit from gross profit, 150 - 40 = 110.
It is easy as piece of cake but I guess you haven't learned the format of the income statement and the balance sheet, which you should.
The exam is in two days, make sure you revise very well, and good luck.
May God be with all of us...
As you can see this is an example of an income statement, in which:
Sales - Cost of Sales = Gross profit - overheads (expenses) = net profit.
Therefore, 500 - 350 = 150 which is the Gross profit.
Then to get the overheads, subtract the net profit from gross profit, 150 - 40 = 110.
It is easy as piece of cake but I guess you haven't learned the format of the income statement and the balance sheet, which you should.
The exam is in two days, make sure you revise very well, and good luck.
May God be with all of us...