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Net Income

CATEGORY

Accounting and Audit

Definition

Net income, also known as net profit or bottom line, is the total profit or loss earned by a company after deducting all expenses, taxes, interest, and other deductions from its total revenue. Net income reflects the overall financial performance of a company and represents the amount of earnings available to shareholders after accounting for all costs and obligations. Net income is a key measure of profitability and is reported on the income statement as the final line item.

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