Which of the following statements about net income (NI) is true?
A) NI = operating income plus nonoperating revenue.
B) NI = operating income plus operating costs.
C) NI = operating income less income taxes.
D) NI = operating income less cost of goods sold.

Question

Quizplus · Accepted Answer

Net income is calculated by subtracting all expenses, including operating costs and non-operating expenses, from operating income and then deducting income taxes. Therefore, option C is the correct statement.

Which of the Following Statements About Net Income (NI) Is