The Terms Upside Gain and Downside Loss Refer to the Profits

question 45

True/False

The terms upside gain and downside loss refer to the profits the business can make and the losses it can suffer.

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Definitions:

Total Credits

The aggregate amount of credit entries made in an account or a financial statement.

Total Debits

The sum total of all debit entries made in a company's accounting ledger during a specific period.

Net Income

The total earnings of a company after all expenses and taxes have been deducted from revenue.

Net Loss

The result when a company's total expenses exceed its total revenues during a specific period, indicating a negative earnings performance.