Topics
Introduction of Commerce and Business
Trade
- Concept of Trade
- Internal Trade
- Wholesale Trade
- Retail Trade
- Types of Retailers> Itinerant Retailers
- Types of Retailers> Fixed Shop Retailer
- Small Scale Fixed Retailer
- Large Scale Fixed Retailers
- Departmental Stores
- Super Market Shop
- Chain Stores or Multiple Shops
- One Price Shop
- Concept of Mall
- International Trade
- Export Trade
- Procedure of Export Trade
- Import Trade
- Procedure of Import Trade
- Entrepot Trade
- Comparison of Different Types of Retailers and Trade Practices
Small Scale Industry and Business
Forms of Business Organisation - 1
- Private Sector Organisations
- Sole Trading Concern
- Partnership Firm
- Types of Partners
- Types of Partnerships Firms
- Hindu Undivided Family Business Or Joint Hindu Family Business
- Co-operative Society
- Types of Cooperative Societies
- Joint Stock Company
- Amul: A Successful Co-operative Movement in India
- Private Limited Company
- Public Limited Company
- Comparison of Different Forms of Business Organization
Forms of Business Organisation - 2
Institutes Supporting Business
Business Environment
- Concept of Business Environment
- Importance of Business Environment
- Dimensions of Business Environment
- Internal Factors
- External Factors> Natural Environment
- External Factors> Social Environment
- External Factors> Political Environment
- External Factors> Economic Environment
- External Factors> Technological Environment
- External Factors> Legal Environment
- New Economic Policy and Business
- Liberalisation
- Privatisation
- Globalisation
- Impact of New Economic Policy on Business
Introduction to Management
- Introduction
- Fomula
- Flow Chart
- Role of Profit in Business
- Real-Life Application
- Key Point Summary
Maharashtra State Board: Class 11
Introduction
Profit is the extra money a business has after covering all its costs, such as the owner’s salary, rent, and materials. It shows if a business is successful and healthy.
Maharashtra State Board: Class 11
Formula
Every business operates with the aim of earning a profit, which is the excess of revenue over costs.
- Profit = Revenue - Total cost
Maharashtra State Board: Class 11
Flow Chart
Maharashtra State Board: Class 11
Role of Profit in Business
| Role | Explanation | Real-Life Application |
|---|---|---|
| Returns to Investors | Investors expect rewards for supporting a business |
A cafe pays dividends to partners |
| Research & Development (R&D) | Funds new ideas and improvements | Profits help update a bakery’s menu |
| Growth and Expansion | Opens new stores, hires more staff, or adds new products | A shop uses profit to launch delivery |
| Increases Efficiency | Enables timely payments and motivates staff | Employees get bonuses for good work |
| Means of Livelihood | Owners and employees depend on profit for income | Owner pays family expenses |
| Reward for Risk | Compensates for risks taken in running a business | Shopkeeper tries new products |
| Survival | Ensures a business can face tough markets and emergencies | Business survives during a downturn |
Maharashtra State Board: Class 11
Real-Life Application
Imagine a lemonade stand:
You buy lemons and sugar for ₹40, sell lemonade for ₹100, and after expenses, you have ₹60. This profit may help you buy better ingredients, attract more customers, and save for tough days.
Maharashtra State Board: Class 11
Key Point Summary
- Profit is essential for growth, rewards, innovation, efficiency, and survival.
- Without profit, a business cannot run or expand for long.
- Profit benefits everyone involved: owners, employees, and even customers (through innovation).
