PROFIT I POFITNA STOPA

On the surface of the capitalist system of commodity production, excess value takes the shape of profit. In order to determine what is profit, a highly abstract method of analysis must be replaced with analysis of more specific form of functioning of commodity production in capitalism and legality in manifesting the form of profit and the manner in which it is appropriated. Simply put, profit is earnings on deposited capital, which was established to be the case for excess value i.e., surplus value arries from excess or gain on invested capital. However, analysing the process of creating value, we established that only variable capital (capital invested in the working force) creates new value, and with that excess value.