A net loss occurs when
A)assets exceed liabilities.
B)expenses exceed revenues for the year.
C)dividends exceed income for the year.
D)cumulative expenses and dividends have exceeded income.

Question

Quizplus · Accepted Answer

A net loss occurs when a company's expenses exceed their revenues for the year. This means that the company's total expenses were greater than the total revenues earned, resulting in a loss for the year.

A Net Loss Occurs When