Profit Rate
/ˈprɒfɪt reɪt/
Definitions
- (n.) The ratio or percentage expressing the amount of profit earned on an investment or business activity relative to the capital invested or revenue generated.
The profit rate exceeded expectations, indicating a highly successful quarter.
Forms
- profit rate
- profit rates
Related terms
See also
Commentary
In legal drafting, define the term clearly to avoid ambiguity between accounting measures and contractual or statutory uses related to profit calculations.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.