Which of the following is operating income?
A)Explicit plus implicit costs
B)Stockholders' equity
C)Revenue minus operating expenses
D)Net profit

Question

Quizplus · Accepted Answer

Operating income refers to the income generated from the primary operations of a business, which is calculated by subtracting operating expenses from revenue. Therefore, Revenue minus operating expenses is the correct choice for operating income.

A) Explicit plus implicit costs are not related to operating income.
B) Stockholders' equity is a measure of a company's net worth, which is not the same as operating income.
D) Net profit is the total earnings of a company, including all revenues and expenses, while operating income is only concerned with the income generated from primary operations.

Which of the Following Is Operating Income