Calculating gross profit is a key metric in any business’s financial accounting. It’s the difference between the total revenue generated and the cost of goods sold. Gross profit is an important indicator of how efficiently a business operates and how profitable it can be – and it’s also a great way to compare one business to another. By calculating your gross profit, you’ll gain valuable insights into what drives your business’s performance and profitability, enabling you to make informed decisions about how to grow or reinvest in the future.