Vidyalelo
Commerce · Q155

Accounting

Graduate and Post Graduate · Commerce · question 155

Q155

Net profit is computed in which of the following?

A.
Balance sheet
B.
Income statement
Answer
C.
Cash flow statement
D.
Statement of changes in equity

Answer: Option B

Solution

Answer: Option B
Solution:
Net profit is computed in Income statement. Net income, also called net profit, is a calculation that measures the amount of total revenues that exceed total expenses. It other words, it shows how much revenues are left over after all expenses have been paid.