Glossary

Gross and net profit or loss: P&L

Profit or loss before and after the stated costs.

Definition and example

P&L means profit and loss. Gross reflects prices, direction and quantity; net subtracts the defined costs. Interpretation requires currency, units and assumptions.

Synthetic example: four points at 2 units per point with one contract produce 8 gross units; total costs of 3 leave 5 net. An open position has an unrealised result that can change. A simulated result describes only the model and attempt: it is neither earned money nor a reliable estimate of future results.

Sources and references

Chezur examples and explanations are educational. Consult the original source to verify conditions, data and updates.

Context and review of this explanation

How do gross and net outcomes differ?

Topics
Units and costs
Level
Beginner
Skills
Calculate with units and costs
Examples
Hypothetical situations illustrating the concept.
Specialist review
Not documented for this edition. Automated structure and internal-link checks do not establish specialist review.

Editorial standards and corrections →

Keep learning