Enterprise glossary and term center
Research and understand all the intricate terms and definitions that surround the ecosystem of enterprise resource planning (ERP), enterprise software and no-code tools.
- Enterprise terms
- How do you calculate earnings?
Earnings - How do you calculate earnings?
The formula for estimated earnings is forecasted sales minus forecasted expenses. The formula above is a simple way of restating how to calculate net income, i.e. earnings, based on its estimated components. However, the practice of calculating estimated earnings is far more complex.