Net Income Is ________

question 25

Multiple Choice

Net income is ________.

• A)the accounting profit from the operations of the company during the period
• B)cash flow
• C)the accounting profit from the non-operating assets of the company during the period
• D)always equal to the dividends paid to shareholders

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Definitions:

Contract Performance

Refers to the execution of the duties and obligations as outlined in a contract by the parties involved.

Breach of Condition

A breach of condition refers to the failure to meet a critical term of a contract, which can entitle the other party to terminate the agreement and seek damages.

Legal Tender

A form of money that under law must be accepted if offered in payment of debt.

Self-induced Frustration

A situation where a party deliberately or through its own actions causes the conditions that render it unable to fulfill a contract, thus cannot claim frustration of the contract.