Assume it costs Pepsi $0.25 to bottle
one can of soda, and they sell it to the
grocery store for $1.00, what do we
call the difference between the price
and the cost?

Answer :

Answer: Gross profit/ Markup/ Margin

Explanation:

The cost to Pepsi for manufacturing one bottle is known as the cost to the company. While the price at which it is sold to grocery store is $1.00. The difference between the price and cost is known as the gross profit.

It can also be termed as markup or the margin for Pepsi Company. The markup/ gross profit / margin for Pepsi is $0.75. Gross profit is arrived at after meeting the cost of making and selling it.

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