Discover why operating cash flow is a more reliable metric than net income for assessing financial health and avoiding accounting manipulation risks.

Managerial accounting, a tool used for business decision-making, allows for different methods of calculating net income. The general formula is that sales minus costs equals net income, but there are ...

Businesses use accounting methods to record, track and analyze financial transactions. Within an accounting cycle, such as a month or calendar year, businesses can look at gross and net totals for a ...

Gross income is the total of all income you receive before taxes. It’s also called pre-tax income. Net income is your income after taxes (or take-home pay). Your gross income figure will always be ...

Profit and net income are found on your company's income statement. Learn the difference between these financial terms and what they mean for your company.

Net income is the total amount of income left after expenses and deductions are taken out. You can find a company's net income on its income statement to assess the health of a business. Net income is ...