Question

Operating income is defined as: Multiple Choice Gross Profit minus Operating Expenses. Sales Revenue minus Cost of Goods Sold. All revenues minus all expenses. Income before Income Tax Expense.

Answer 1

Gross profit minus operating expenses

Step-by-step explanation:

Operating income is the income that is being anticipated after all expenses have been deducted from the gross income . In other words, it is the income after interest and taxes have been taken out from revenue.

Operating income refers to the measurement of amount that is gained from business operation after taken into consideration operating expenses such as depreciation, cost of goods sold and wages.