
Understanding Net Profit
Interactive Video
•
Business
•
9th - 10th Grade
•
Hard
Jennifer Brown
FREE Resource
5 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is net profit sometimes referred to as?
Top line
Bottom line
Gross profit
Operating profit
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following is NOT included in the calculation of net profit?
Cost of sales
Tax payments
Operating expenses
Sales revenue
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
How is the net profit margin calculated?
Total expenses divided by net profit
Sales revenue divided by net profit, multiplied by 100
Net profit divided by sales revenue, multiplied by 100
Net profit divided by total expenses
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What does a higher net profit margin indicate?
Higher tax payments
Lower sales revenue
Better overall profitability
Higher operating costs
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What should a business investigate to improve net profit?
Reduce operating costs and overheads
Increase tax payments
Increase gross profit
Increase sales revenue
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