The income statement begins with revenue and subtracts various operating expenses until arriving at the intermediate point of ________
A) earnings after taxes
B) net income
C) taxable income
D) EBIT
Answer: D
Explanation: D) The income statement begins with revenue and subtracts various operating expenses until arriving at Earnings Before Interest and Taxes (EBIT). Next, interest expense is subtracted to find the taxable income for the period. Then the appropriate taxes are calculated and subtracted. We finally arrive at the net income, the so-called bottom line of the income statement.
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In terms of ad spending by media in the United States, the largest category is:
A) television B) magazines C) the Internet D) newspapers
Which one of the following is the last step in the accounting cycle?
a. Journalizing business transactions b. Recording and posting adjustments c. Closing the accounts d. Preparing financial statements
John is giving a presentation at his office. During his speech, John controls his tone of voice, how fast he is talking, and how he articulates his words. John is using the nonverbal code of
a. kinesics. b. proxemics. c. physical appearance. d. vocalics.
Which is correct?
a. He at his desk in his office. b. He is at his desk in his office.