Net Income
View All TermsNet Income is the net profit that a company earns after deducting all costs and losses including cost of goods, SGA, DDA, interest expenses, non-recurring items and tax.
Net Income
= {Revenue} - {Cost of Goods Sold} - {Selling, General, & Admin. Expense} - {Research & Development} - {Depreciation, Depletion and Amortization} - {Interest Expense} + {Non-Recurring Items} - {Tax Expense}
= {Earnings Before Depreciation and Amortization} - {Depreciation, Depletion and Amortization} (DDA) - {Interest Expense} - {Non-Recurring Items} (NRI) - Tax Expense
= {Operating Income} - {Interest Expense} - {Non-Recurring Items} (NRI) - Tax Expense
= {Pre-Tax Income} - Tax Expense
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