Using profits wisely is crucial for sustaining and growing a business. Reinvesting a portion of profits back into the business can fund expansion, improve products, or enhance marketing efforts. It's also important to allocate funds for savings, debt repayment, and shareholder distributions to ensure long-term stability and stakeholder satisfaction. Ultimately, a balanced approach that considers both growth and financial health is key.
greater then economic profits,as accounting profits do not include implicit costs
Profits = revenues - expenses
many firms will earn profits in the short term, but they must constantly innovate and compete to earn profits in the long term
economic profits in a industry suggest the industry
No.
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Bottom-line profits
greater then economic profits,as accounting profits do not include implicit costs
SmartShop's profits have been growing at 5% per year. This year their profits were approximately $500,000. What were their profits last year?
The company's profits decreased by 12%
The answer depends on the period for which the old profits are required.
Profits = revenues - expenses
They recieved few profits
The Profits of Religion was created in 1917.
The Profits of Extermination was created in 2005.
475000
Also referred to as paper profits. They are profits that appear on you P&L. Whether they are real or not is a different topic.