Why is Profit Important?

Answer

Profit is important because it is the bottom line of a business. Profit helps grow a business and it makes it's owners become more financially stable. You can find more information here: tutor2u.net/business/gcse/finance_profit.htm

1 Additional Answer

Profit is important because without it there would be no money to spend. For example, if a business is selling products without receiving profit, they would not be able to stay open because they would be paying just to give you a product with no incentive for that business. Also, without profit families could not be supported and goods could not be bought, causing the economy to eventually spiral down into a depression.

Q&A Related to "Why is Profit Important?"

Why is Profit Important?

Profit is important because it is the bottom line of a business. Profit helps grow a business and it makes it's owners become more financially stable. You can find more information

http://answers.ask.com/Society/NonProfit/why_is_pr...

why is profit important in a business?

A profit can be defined as the additional amount of revenue that is made after all the resources necessary to create the product or provide the service are utilized. Let's assume

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why profit sharing is important?

A company must offer profit sharing to all employees, both hourly and management. Moreover, profit sharing plans may differ in scope, but the benefits cannot favor one level of employee

http://www.ehow.com/facts_7175159_profit-sharing-i...

why is profitability an important ratio to stockholders?

The profitability ratio is important to shareholders because it measures the efficiency and prosperity of a company; it tells how well a company has achieved its financial goals.

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