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Which of the Following Is True About Net Income

Question 35

Multiple Choice

Which of the following is true about net income?


A) Income targets are expressed in terms of operating income.
B) Income targets are expressed in terms of net income.
C) Income targets are not expressed in terms of net income.
D) Managers always ignore the effect of net income on income taxes.
E) Decisions do not result in large operating incomes and never have favorable tax consequences.

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