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What is the difference between profit and gain explain with examples?

Sagot :

Gain is simply the money or cash obtained due to the selling of any product. Whereas profit is the net income obtained after all the expenses are paid and the remaining amount is larger than the cost.

Gain is the money earned after just selling the goods. It also involves the company cost, taxations, employer salaries, etc. that are to be paid from the money earned. Gain can be of two types: realized and unrealized.

Profit is the leftover amount obtained after all the extra expenses are paid related to the business and is available for personal use. It is the sole intention of running any business. There are three types of profits: gross profit, operating profit and running profit.

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