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Business 101: What Do The Terms ‘Fixed Cost’ And ‘Net Profit’ Mean?

There are some basics about business that most business owners are afraid to admit that they really don’t know or understand.  Well, here at 2BH we’re going to give you the answers to the questions you might have been too embarrassed to ask.

What do the terms ‘Fixed Cost’ and ‘Net Profit’ mean?

“Fixed Cost” is a one-time expense that doesn’t vary with business volume.  It is an expense that is fixed or set.

“Net Profit” is your revenues minus expenses.  It is the money you bring minus your money going out.

Photo by photosteve101

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About Scott Aughtmon (1872 Articles)
I’m author of the book 51 Content Marketing Hacks. I am also a regular contributor to and I am the person behind the popular infographic 21 Types of Content We Crave. I’m a business strategist, consultant, content creation specialist, and speaker. I’ve been studying effective marketing and business methods (both online and offline) since 1999. ===> If you would like to see ways that we could work together, then please click here to learn more.