What is normalized net income given the following information?

A)$505
B)$550
C)$385
D)$275

Question

What is normalized net income given the following information? 
 
A)$505 
B)$550 
C)$385 
D)$275

Quizplus · Accepted Answer

Normalized net income is calculated by adding back any one-time or non-recurring expenses or gains to net income.

Looking at the given information, we can see that the difference between the two numbers in the image is $165 ($550 - $385). This difference is likely due to a one-time expense or gain.

Therefore, we can assume that the normalized net income is the lower number, which is $385.

Option A and B are incorrect as they are higher than $385, and option D is incorrect as it is not a possible choice based on the information given.

What Is Normalized Net Income Given the Following Information