Consider the partial data flow diagram below: 
Which of the following is most true?
Definitions:
Income
The financial gain received by an individual or a business, typically from employment, investments, or sales of goods and services.
Variable Costing
An accounting method that only includes variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product costs, with fixed overhead expenses charged to the period they arise.
Absorption Costing
An accounting method that includes all manufacturing costs (direct materials, direct labor, and both variable and fixed manufacturing overhead) in the cost of a product.
Net Income
The amount of revenue left over after all expenses and taxes have been deducted.
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