Operating income calculations use:
A)net income
B)income tax expense
C)cost of goods sold and operating costs
D)nonoperating revenues and nonoperating expenses

Question

Quizplus · Accepted Answer

Operating income is calculated by subtracting cost of goods sold and operating expenses from revenue. Net income, income tax expense, nonoperating revenues, and nonoperating expenses are not included in the calculation of operating income.

Operating Income Calculations Use