How to calculate net earnings on accounting approach basis ?
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A company's net income is equal to its net profit, or the amount of money left after all expenses are deducted from the total value of any income earned. Net income is calculated as revenues plus gains, minus expenses and losses.
To calculate net income for a business, start with a company's total revenue. From this figure, subtract the business's expenses and operating costs to calculate the business's earnings before tax. Deduct tax from this amount to find the business's net income.
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To calculate net income for a business, start with a company's total revenue. From this figure, subtract the business's expenses and operating costs to calculate the business's earnings before tax. Deduct tax from this amount to find the business's net income.
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