When expenses exceed revenues,the resulting change in equity is called:
A)Net assets.
B)Negative equity.
C)Net loss.
D)Net income.
E)A liability.

Name: When expenses exceed revenues,the resulting change in equity is called: A)Net assets. B)Negative equity. C)Net loss. D)Net income. E)A liability.
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Question

Quizplus · Accepted Answer

When expenses exceed revenues, it results in a negative net income, which is also known as a net loss. This decrease in net income leads to a corresponding decrease in equity for the company.

When Expenses Exceed Revenues,the Resulting Change in Equity Is Called