Question by  jennie (77)

What is the difference between profit and profitability?

I am trying to do my economics homework and has no idea what the difference is.


Answer by  Anonymous

Profit is Revenues - Operating cost while profitability refers how well your company is utilizing its capital in a well efficient way,


Answer by  Gabriel (2146)

Profitability is the long term ability of a company to make a profit. A company that makes more than it spends makes a profit, but can it keep doing so?


Answer by  ravishanker (155)

The difference is very simple and to say in easy words. Profit is the total gain earned in our business. Profitability is the calculated amount which we expect as a gain from our business.


Answer by  Anonymous

Profit means positive returns of bearing risk and profitability means continuation in undertaking the profit margin in every year.

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