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In business, net income - also referred to as the bottom line, net profit, or net earnings - is an entity's income minus cost of goods sold, expenses and taxes for an accounting period. -1. True.-2. False.
Refers to a company's net earnings, net income or earnings per share (EPS). Bottom line also refers to any actions that may increase/decrease net earnings or a company's overall profit. A company that is growing its net earnings or reducing its costs is said to be "improving its bottom line".
The reference to "bottom" describes the relative location of the net income figure on a company's income statement; it will almost always be the last line at the bottom of the page. This reflects the fact that all expenses have already been taken out of revenues, and there is nothing left to subtract. This stands in contrast to revenues, which are considered the "top line" figures.
Most companies aim to improve their bottom lines through two simultaneous methods: growing revenues (i.e., generate top-line growth) and increasing efficiency (or cutting costs).
Net Income is the amount of profit money a business has after determining total gross business income and deducting all expenses, taxes, depreciation, and interest.
Net income is the same as the "profit" of a business, or its "earnings."
TRUE. Net income is the total earnings of an organisation after adjusting the operating costs, depreciation, interest and taxes
Net Income is Net earnings of the company. i.e. Total recognised revenue minus all the accrued expenses, including taxes computed above the line.
True.... that is the Net income
1-true
True
Revenue
- cost of good sold
- Expenses
= Profit before taxes
- taxes
= Net Profit / net income
For an individual "net income" is their "take home pay" ie after all relevant deductions from their "gross" pay - Income tax, national insurance etc etc.
True, EBIT is operating income
Net income is a company's total earnings (or profit). Net income is calculated by taking revenues and adjusting for the cost of doing business, depreciation, interest, taxes and other expenses. This number is found on a company's income statement and is an important measure of how profitable the company is over a period of time. The measure is also used to calculate earnings per share.
True
by simple way
Net Income = All Revenues - All Costs & Expenses - Taxes
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