Which of the Following Statements About Net Income (NI) Is

question 38

Multiple Choice

Which of the following statements about net income (NI) is true?

• A) NI = operating income plus nonoperating revenue.
• B) NI = operating income plus operating costs.
• C) NI = operating income less income taxes.
• D) NI = operating income less cost of goods sold.

---

Definitions:

Agents

Individuals or entities authorized to act on behalf of others (principals) in contractual matters or negotiations, creating legal relationships.

Agency by Estoppel

A principle in law whereby a person is prevented (estopped) from denying the existence of an agency relationship due to their previous actions or representations.

Misrepresents

To falsely or inaccurately portray information, facts, or details, often with the intent of deceiving others.

Unauthorized Act

An action taken by an individual or entity without permission or authority, often leading to a breach of contract or law.