Ted is an accountant at ABC Company. He calculates the difference between total revenues and total costs before tax. Ted calculates the:
A) net profit.
B) capital turnover.
C) cost of goods sold.
D) return on sales.
E) invested capital.

Question

Quizplus · Accepted Answer

Ted is calculating the difference between total revenues and total costs, which is the definition of net profit. Therefore, A) net profit is the correct choice.

Ted Is an Accountant at ABC Company