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Profit and loss account

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Querist : Anonymous

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Querist : Anonymous (Querist)
06 May 2012 what is cash profit in p&l and how it is different from operating profit and how can we calculate the cash profit
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Guest (Expert)
07 May 2012 Operating profit is the Gross margin from business. 1.e Sales - Direct cost.

Cash profit is arrived at by adding depreciation to PAT.
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Amol Gopal Kabra (CA,CS,DISA)

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Amol Gopal Kabra (CA,CS,DISA) (Expert)
07 May 2012 Cash profit is Actual Profit adjusted for non cash transactions like, depreciation, amortisation, write-offs, etc.
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