1680. Variable cost is subtracted from fixed costs to calculate

A. unit income
B. fixed income
C. operating income
D. marginal income
✅ The correct answer is option C.
Variable cost is subtracted from fixed costs to calculate operating income. Operating income is an accounting figure that measures the amount of profit realized from a business’s operations, after deducting operating expenses such as wages, depreciation, and cost of goods sold (COGS).

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