财务会计英语要点.ppt

Section 1Definition of Profit 1.1 Profit (利润) Profit is the overall measurement of a business’ performance. 1.2 Net income (净利润) If revenues exceed expenses, net income is produced, which is shown in the equation “Net Income=Revenues-Expenses”. 1.3 Gross profit (毛利) Gross profit is the margin for products that are sold before deducting the operating expenses, or it is the difference between the revenues and the cost of goods sold. Section 1Definition of Profit 1.4 Calculations of net income in businesses of different types (不同企业净利润的计算方式) For a service business, net income is