Net profit of a project: An indicator to evaluate social and economic performance project

Net Profit of a project in a fiscal year is the remaining part of net income when subtracting costs of that year, including all costs related to enterprise’s production and business processing such as production and business costs, repair costs, interest payments, operation costs, corporate income taxes and other expenses.

Project’s net profit will be calculated as follows:

Net Profit (t) = Revenue (t) + All Cost (t)

The net profit determination of a project can help enterprises to compare between the years of project operation and use to calculate the total net profit or average profit of one project life cycle.