The Income Statement Presents a Summary of an Entity's Revenues

Multiple Choice

The income statement presents a summary of an entity's revenues and expenses for a period of time. Which of the following statements is true of an income statement?

A) There is net income when total revenues are lesser than total expenses.
B) There is a net loss when total expenses are lesser than total revenue.
C) There is a net loss when total expenses are greater than total liabilities.
D) There is net income when total revenues are greater than total expenses.