Question

Which of the following statements best describes the difference between net income and gross profit?

a. Gross profit considers operating expenses while net income does not

b. Net income considers operating expenses while gross profit does not.

C.Gross profit deducts taxes while net income does not

d. Net income deducts taxes while gross profit does not.

Answer 1

Option B

Step-by-step explanation:

Gross profit is only gotten after subtracting cost of goods and distribution while net income is a company's profits after deducting all its expenses from revenue