The key item for investors on the income statement is:
A)sales.
B)gross profit.
C)operating expenses.
D)after-tax net income.

Question

Quizplus · Accepted Answer

After-tax net income is the most important item on the income statement for investors because it provides a clear picture of the company's profitability after accounting for all expenses and taxes. This information is critical for making investment decisions as it indicates how much of the company's earnings are available for distribution to investors.

The Key Item for Investors on the Income Statement Is