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What is operating income vs profit? Buffalo
- Location: Buffalo, Buffalo, New York, United States
When looking at a company’s financial health, people often use the word "profit" loosely. However, in accounting,Operating Income and Profit (specifically Net Profit) measure two very different things.The simplest way to distinguish them is: Operating Income tells you if the business model works, while Net Profit tells you if the company is actually making money after all its obligations are met.
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