Net income is calculated as:
A)Net sales + costs - operating expenses
B)Net sales - costs - operating expenses
C)Net sales + costs + operating expenses
D)Net sales - costs + operating expenses
E)None of these

Question

Quizplus · Accepted Answer

Net income is calculated by subtracting costs and operating expenses from net sales. This formula reflects the company's profit after all expenses have been deducted from total revenue.

Net Income Is Calculated As