Question

Which of the following is the most common wording for a measure of the company's income...

Which of the following is the most common wording for a measure of the company's income from regular operating activities, before considering the effects of interest, income taxes, and any nonrecurring items?

*Income from operations

*Income from core operations

*Income from peripheral operations

Business   Accounting   
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Answer #1

Correct Answer ---Income from operations

Explanation

Most commonly income from operations is used to indicate operating income that is generated after deducting operating expenses from gross profit.

Peripheral operations are non operating activities hence not the correct option. Peripheral activities includes Interest revenue, rental income etc.

Core operations are major activities of organizations although operating income may includes all operations including non core operations.

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