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Profit is serious business.


Pikachu

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My dad taught me a heckload of business today, it's part of the Tuesday schedule, 'Talk to my Dad'. I had to be honest, I didn't get most of it. *Note: I am 13.*

 

But I got this:

 

Let's say Wal-Mart earned 400 billion as their total revenue. The revenue cost is 300 billion, so subtract that. We now have 100 billion, that's the gross profit of Wal-Mart.

 

Then, we have expenses, also known as the Selling General and Administrative expenses. That is approximately 75 billion, so let's subtract that from 100 billion. We now have 25 billion, that's the net profit.

 

The damn government now takes some of that 25 million as tax. Other minor expenses are also included. Now the tax totals 13 billion. Subtract 12 billion from 25 billion, you get 13 billion.

 

So in this example, Wal-Mart only gained 13 billion in total.

 

Discuss how things are just not worth it IRL.

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13 B is a stupid amount of money' date=' without labor costs, which I assume include executive bonuses, etc. All of that goes to the Wall - Mart Family...

[/quote']

 

The Selling General and Administrative expenses do include salaries, bonuses and labor costs.

 

What...

And you thought that the tax people are charged go to the cashier?

 

This is simple business :/

 

I just learned this' date=' and I still can't get all of it...yet.

 

The damn government

 

Best part of the thread.

 

It's not really that hard to comprehend.

 

I agree on the best part. ;D

 

You do realize most YCM is under 10 right?

 

Of course, but I also assumed that the minority of the people would post here.

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