On a Projected Income Statement, a Business Owner's Target Income

Multiple Choice

On a projected income statement, a business owner's target income is ________.

A) the sum of a reasonable salary for the time spent running the business and a normal return on the amount invested in it
B) the income at which the company's total revenues and its total expenses are equal
C) the income that will produce a 10 percent return on the owner's financial investment in the business
D) the income that the owner could earn working for someone else