Net income is calculated by:
A)Net Income = Assets + Revenues
B)Net Income = Revenues + Owners' Equity
C)Net Income = Revenues - Expenses
D)Net Income = Assets - Liabilities

Question

Quizplus · Accepted Answer

Net income is calculated by subtracting total expenses from total revenues. This calculation shows how much profit a company has generated after all expenses have been accounted for. The formula for net income is: Revenues - Expenses = Net Income.

Net Income Is Calculated By