Print this chapterPrint this chapter

Understanding Financial Statements

Did You Make Any Money?

What does your income statement tell you? It has provided you with four pieces of valuable information:

  1. You sold 100 units at $10 each, bringing in revenues or sales of $1,000.
  2. Each unit that you sold cost you $6 - $1 for the treasure chest plus 5 toys costing $1 each. So your cost of goods sold is $600 (100 units × $6 per unit).
  3. Your gross profit - the amount left after subtracting cost of goods sold from sales - is $400 (100 units × $4 each).
  4. After subtracting operating expenses of $300 - the costs of doing business other than the cost of products sold - you generated a positive net income or profit of $100.
Callback before_footer in local_aigrade component should be migrated to new hook callback for core\hook\output\before_footer_html_generation
  • line 7225 of /lib/moodlelib.php: call to debugging()
  • line 7292 of /lib/moodlelib.php: call to {closure}()
  • line 71 of /lib/classes/hook/output/before_footer_html_generation.php: call to get_plugins_with_function()
  • line 987 of /lib/classes/output/core_renderer.php: call to core\hook\output\before_footer_html_generation->process_legacy_callbacks()
  • line 97 of /mod/book/tool/print/index.php: call to core\output\core_renderer->footer()