Enter the profits at the beginning of the period ($) and the cash and stock dividends ($) into the calculator to determine the Accumulated Profit. 

Accumulated Profit Formula

The following formula is used to calculate the Accumulated Profit. 

AP = P – CS

  • Where AP is the Accumulated Profit ($)
  • P is the profits at the beginning of the period ($) 
  • CS is the cash and stock dividends ($) 

How to Calculate Accumulated Profit?

The following example problems outline how to calculate Accumulated Profit.

Example Problem #1:

  1. First, determine the profits at the beginning of the period ($). In this example, the profits at the beginning of the period ($) is given as 500.
  2. Next, determine the cash and stock dividends ($). For this problem, the cash and stock dividends ($) is given as 200.
  3. Finally, calculate the Accumulated Profit using the equation above: 

AP = P – CS

The values given above are inserted into the equation below:

AP = 500 – 200 = 300 ($)

Example Problem #2: 

The variables needed for this problem are provided below:

profits at the beginning of the period ($) = 1000

cash and stock dividends ($) = 560

Entering these values and solving gives:

AP = 1000 – 560 = 440 ($)