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Accounting Profit

Author: Kate Eskra
Video Transcript
Terms to Know
Accounting Profit

Total revenue minus total cost, where total cost includes only explicit costs. 

Formulas to Know
Accounting Profit

P r o f i t  =  T R minus T C
w h e r e colon
T R  =  p r i c e cross times q u a n t i t y space s o l d
T C  =  c o s t space p e r space u n i t cross times q u a n t i t y space p r o d u c e d