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I am trying to do my economics homework and has no idea what the difference is.
Profit is Revenues - Operating cost while profitability refers how well your company is utilizing its capital in a well efficient way,
Profitability is the long term ability of a company to make a profit. A company that makes more than it spends makes a profit, but can it keep doing so?
The difference is very simple and to say in easy words. Profit is the total gain earned in our business. Profitability is the calculated amount which we expect as a gain from our business.
Profit means positive returns of bearing risk and profitability means continuation in undertaking the profit margin in every year.
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