cost of capital

Profit

The Concept of Economic Profit vs. Accounting Profit

March 24, 2023
accounting profit
business performance
cost of capital
economic profit
financial metrics

When it comes to measuring the success of a business, there are two types of profits that are commonly used: economic profit and accounting profit. Though both are useful in their own ways, they have distinct differences that are important to understand. What is Accounting Profit? Accounting profit is the most basic measure of a […]