Question: What is the term used to describe the difference when revenues exceed expenses in a business? A . Net income B . Net loss C

What is the term used to describe the difference when revenues exceed expenses in a business?
A. Net income
B. Net loss
C. Owner's withdrawals
D. Owner's investment
What is the term used to describe the difference

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

The board of directors of General Wheels Co. is considering six large capital investments. Each investment can be made only once. These investments differ in the estimated long-run profit ( net...

Q:

Net income (net loss), owner withdrawals, and owner investment cause equity to change. We also know that revenues less expenses equals net income (loss). Using the following information, calculate...

Q:

Net income (net loss), owner withdrawals, and owner investment cause equity to change. We also know that revenues less expenses equals net income (loss). Using the following information, calculate...

Q:

Acct 110 Chapter 5 Homework Handout 1 True/False Statements Instructions: Each of the following statements is true or false. Indicate your choice by writing "T" for true or "F" for false in the...

Q:

Acct 110 Chapter 5 Homework Handout 1 True/False Statements Instructions: Each of the following statements is true or false. Indicate your choice by writing "T" for true or "F" for false in the...

Q:

The following events occurred in March: March 1: Owner borrowed $125,000 to fund/start the business. The loan term is 5 years. March 1: Owner paid $250 to the county for a business license. March 2:...

Q:

1. The difference between a businesss revenues and its expenses is the companys: The difference between a businesss revenues and its expenses is the companys net income or loss. 2. In the United...

Q:

Overview In previous modules, you examined the initial stages of the accounting cycle and practiced journalizing financial transactions. In Milestone One, you will complete the first part of your...

Q:

Using the data given in the accounting data appendix, create an income statement, statement of stockholder equity, balance sheet, and closing entries for this new company. A Company Income Statement...

Q:

In the context of financial accounting, the preparation of financial statements is a crucial process for businesses. The (1) is the first step in this process, where all the financial transactions of...

Q:

DR. HERMI TROUBLE Alonzo Ezequiel started his ironing services business on May 1, 2021. The following transactions occurred during the month of May. You do not have to write the explanations. The...

Q:

Describe wage determination in a labor market in which workers are unorganized and many firms actively compete for the services of labor. Show this situation graphically, using W1 to indicate the...

Q:

If a 10.0 V DC supply is available but 5.0 V DC is required for charging a battery, show how two equal resistors can be used to divide potential and enable the required 5.0 V potential to be applied...

Q:

What multiplier would you use to In this exercise, always use a multiplier to calculate a percentage increase or decrease. a increase a value by 63% b decrease a value by 63% c increase a value by...

Q:

Media outlets often have websites that provide in-depth coverage of news and events. Portions of these websites are restricted to members who pay a monthly subscription to gain access to exclusive...