Gross Profit
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MS: Untung Kasar · EN: Gross Profit · ZH: 毛利
Meaning
Gross profit is the excess of net sales over the cost of goods sold in an accounting period. It is calculated in the Trading section of the Income Statement before operating expenses are deducted. Gross profit shows the profit from buying and selling trading goods only.
Example
Laju Bicycle Shop records sales of RM40,000 and cost of goods sold of RM24,000. Gross profit is RM40,000 minus RM24,000, which is RM16,000, before any expenses such as rent are deducted.
Source: DSKP KSSM Prinsip Perakaunan Tingkatan 4