Retail Fundamentals Knowledge Check 2.6

Which of the following refers to the total amount of money that a retailer brings in?

• COGS

• operating costs

• profit

• revenue

Which of the following refers to the amount of money that a retailer makes after accounting for expenses?

• COGS

• operating costs

• profit

• revenue

Which of the following refers to the difference between revenue and cost of goods sold?

• profit margin percentage

• gross profit

• net profit

• profit margin

Which of the following refers to the difference between revenue and all expenses (including the cost of goods sold and operating expenses)?

• profit margin percentage

• gross profit

• net profit

• profit margin

If a business's revenue is $1,150 and its cost of goods sold (COGS) is $734, what is the business's gross profit?

• $400

• $1,000

• $416

• 600

If a business's gross profit is $100 and its revenue is $500, what is the business's profit margin percentage?

• 20%

• 12.5%

• 7%

• There's not enough information to calculate this.