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Question

_______ is the income earned from the core operations of a business, excluding any financing or tax-related issues.

A
Operating profit
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B
Operating loss
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C
Operating expenses
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D
Operating income
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Solution

The correct option is A Operating profit
Earnings before interest and taxes is a measure of a firm's profit that includes all incomes and expenses except interest expenses and income tax expenses. This is known as operating profit. Operating profit is the excess of operating revenue over operating expenses. Operating profit is the income earned from the core operations of a business, excluding any financing or tax-related issues.

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Statement of Profit and Loss
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