Net Profit in the Profit and Loss Statement Is Determined

Net profit in the profit and loss statement is determined by:

A) The amount of cash held in the business.
B) Deducting the total of all payments made during the accounting period from the total of all receipts for the accounting period.
C) The total of all revenue received for the accounting period less the total of all expenses paid for the accounting period.
D) Deducting the total of all expenses incurred for the accounting period from the total of all revenue earned during the accounting period.
E) The total of all assets less the total of all liabilities.