What is a firm's net income?
A) the difference between the sales and other income generated by a firm, and all costs, taxes, and expenses incurred by the firm in a given period
B) the last or "bottom" line of the income statement
C) a measure of the firm's profitability over a given period
D) all of the above

Question

Quizplus · Accepted Answer

Net income is the difference between a firm's sales and other income generated and all costs, taxes, and expenses incurred in a given period. It is often referred to as the bottom line of the income statement and is a key measure of a firm's profitability. Therefore, all of the options listed are correct.

What Is a Firm's Net Income