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26 September, 00:33

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?

+3
Answers (1)
  1. 26 September, 04:00
    0
    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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