Questions: True or False Question Net income occurs when revenues are greater than expenses. True False

The answer is True: Net income occurs when revenues are greater than expenses.

Explanation:

• Net income, also known as net profit or the bottom line, is the amount of money that remains after all expenses, including taxes and operating costs, have been subtracted from total revenues.
• If revenues exceed expenses, the result is a positive net income, indicating profitability.
• Conversely, if expenses exceed revenues, the result is a net loss.

In summary, net income is achieved when a company's revenues are greater than its expenses, making the statement true.