During the current fiscal year,a company had revenues of $400,000,cost of goods sold of $280,000,and an income tax rate of 30 percent on income before income taxes.What was the company's current year net income?

A) $120,000
B) $36,000
C) $84,000
D) $400,000

Income Tax Rate

The percentage at which an individual or corporation is taxed on their income.

Net Income

The amount of earnings remaining after all expenses, including taxes and operational costs, have been deducted from total revenue; a measure of company profitability.

Revenues

The amounts earned and recorded from a company’s day-to-day business activities, mostly when a company sells products or provides services to customers or clients.