Profit takingThe selling of shares when the price has risen, in order to crystallise trading profits.
Profit takingAction by short-term securities traders to cash in on gains created by a sharp market rise, which pushes prices down temporarily but implies an upward market trend. See: Ring the [cash] register.
Profit and loss statement (P&L)Profit and loss statement (P&L)
A set of accounts, usually prepared annually, which depict a company's trading performance and are normally read in conjunction with the balance sheet and cash flow data. The profit and loss account can broadly be shown as follows:Turnover (sales) less manufacturing costs (or cost of sales if for example a retailing company) = gross profit or lossGross profit plus any non-trading income less operating costs = operating profit Operating profit less interest payments on bank loans or loan stock = profit before tax (pre tax profit)Pre-tax profit, less tax = net profit after taxPart of the net profit after tax may be used to pay a dividend with the balance being retained within the business for future investment.
Non profit endowmentNon profit endowment
This type of endowment guarantees repayment of the loan. There are no annual or final bonuses and you generally have no chance of a cash surplus on maturity. Essentially, there is no benefit other than life cover which is eaqual to the value of the mortgage you have ttaken out. This is seen as an inefficient method of saving the money to pay back and is therefore rarely recommended as a method of repaying a mortgage.
Profit centerProfit center
A division of an organization held responsible for producing its own profits.
Pretax earnings or profitsPretax earnings or profits
Net income before federal income taxes are subtracted.
Profit maximizingProfit maximizing
The level of a variable or behavior that maximizes the profit of a firm.
Further Suggestionsprofit sharing scheme
net profit after tax
pre tax profit
Gross profit margin
profit before tax
net profit before tax (pre tax profit)
unitised with profits
Unitised with profit endowment
Profit sharing plan
Directly Unproductive Profit-Seeking Activities
Operating profit margin
Full with profit endowment