Question

How do you calculate gross profit?
(1 point)
total all revenue and subtract COGS, SG&A, and income taxes
add up all revenue and subtract the cost of goods sold
total all revenue and subtract income taxes
add up all sales made for the period

Answer 1

To calculate gross profit, you should **add up all revenue and subtract the cost of goods sold (COGS)**. Therefore, the correct option is:

**add up all revenue and subtract the cost of goods sold**.