How to calculate Gross gaming revenue for online casino

[roulette]

Recently, I checked out some key point indicators in the online casino. First, I thought some game providers get their share via percentage of spin a player makes but, today after a brief research I found the formula for Gross gaming revenue used to determine how game providers earn from the activities of players.

Formula

GGR= A – B

A - Is the total amount of all bets placed by players
B - The sum of all payments made to players

E.g:

At the end of 2021 stake casino players made bets on $4,000,000 and won $1,500,000.

To calculate the GGR

A= $4,000,000
B= $1,500,000

GGR = $4,000,000 - 1,500,000 = $2,500,000

Task

Solve for NGR (Net Gross Revenue) if the total amount of bonus shared on stake is $500,000, and Stake pays 15% Tax on GGR.

NGR is the basic profits share collected by the casino per month.

Formula

A – B – C – D

Note: C= The sum of all bonuses revived by players
while D = Total of all taxes

To solve for D multiply $2,500,000 by 15%

Goodluck. I learnt something new today, and I'm not alone. Cheers.

 

[bellagio]

Isn't this just basic accounting where you deduct outlows from your inlows. It's probably just a matter of preference but the term "Net Gross Revenue" sounds odd to me since you need to deduct all other expenses from the "gross" to arrive at the "net". I would have used Gross revenue and Net revenue instead.