In Relation to Income, Revenue and Expenses, Which of the Following

Multiple Choice

In relation to income, revenue and expenses, which of the following statements is incorrect?

A) Revenue is the inflows from ordinary activities while income is revenue plus all gains.
B) The difference between revenue and cost of goods sold (i.e. cost of sales) is referred to as gross profit (loss) .
C) Income and expenses do not impact the equation Assets = Liabilities + Owners' Equity.
D) Income increases equity while expenses decrease it.