Net income is defined as
A)revenues minus expenses.
B)expenses minus revenues.
C)assets minus revenues.
D)assets plus revenues.
E)owners' equity assets minus expenses.

Question

Quizplus · Accepted Answer

Net income is the amount of profit a company earns after deducting all expenses from its total revenue. Therefore, option A, which states "revenues minus expenses," is the correct definition of net income. The other options do not accurately describe net income.

Net Income Is Defined as