an abacus with rows of red, green, yellow, turquois and natural tan wooden beads

What does “royalties will be paid on net profit” mean?

The term net profit refers to the actual profit after all working expenses, such as production costs and shipping, have been paid, and is thus different from gross profits. Net profit would be the bottom line, or the money left over after all expenses have been deducted. Paying royalties on the net profit is quite common, and most scholarly publishers would hesitate to offer royalties based the list or retail price.

—AUPresses Faculty Outreach Committee