To determine tax on net operating profit, we begin with total tax expense and deduct taxes related to net nonoperating expenses.

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To determine tax on net operating profit, we typically start with the operating profit and then apply the tax rate to this figure. Total tax expense is more broadly related to overall income, including both operating and non-operating activities, rather than being a starting point for calculating taxes on net operating profit specifically.

To Determine Tax on Net Operating Profit, We Begin with Total