The Net Income of a Company Is Equal to the Total

question 51

Multiple Choice

The net income of a company is equal to the total profit or loss minus:

• A)assets and liabilities.
• B)equity.
• C)sales.
• D)expenses,including taxes.
• E)income and profits.

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Definitions:

Indifference Principle

If an asset is mobile, then in long-run equilibrium, the asset will be indifferent about where it is used; that is, it will make the same profit no matter where it goes.

Garbage Collector

An individual or entity responsible for collecting and disposing of waste material from public or designated areas.

Relatively Higher

A comparative term indicating that one variable or item is of greater magnitude or intensity compared to another or the general context.

Competitive Industry

An industry characterized by many sellers, where no single company can control market prices.