CALCULATING NET INCOME
[tex] \: [/tex]
[tex]{\underline{\huge \mathbb{S} {\large \mathrm {TATEMENT : }}}}[/tex]
To compute the income earned from marketed products, you have to deduct the ____________________ from __________________.
- [tex]{\tt{ANSWER:}}[/tex][tex]{\underline{\texttt{\purple{\; Expenses from Gross income \;}}}}[/tex]
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[tex]{\underline{\huge \mathbb{E} {\large \mathrm {XPLANATION : }}}}[/tex]
[tex]{\Longrightarrow}[/tex] There are two formulas to calculate the income or net income that you have earned from marketed products.
[tex]{\Longrightarrow}[/tex] First, the full method, which is;
- Net Income = Revenue – Cost of products sold – Expenses
[tex]{\Longrightarrow}[/tex] And the second one is the short or simplified method;
- Net Income = Gross Income – Expenses
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[tex] - \large\sf\copyright \: \large\tt{Athanase}[/tex]