give an example of when an actual net income would result in a negative number.\na. when the budgeted…

give an example of when an actual net income would result in a negative number.\na. when the budgeted expenses exceed the actual expenses, the result is a negative actual net income.\nb. when the actual expenses exceed the actual income, the result would be a negative dollar amount.\nc. when the budgeted income is less than the actual income, the result is a negative actual net income.\nd. when the actual expenses are less than the actual income, the result is a negative dollar amount.

give an example of when an actual net income would result in a negative number.\na. when the budgeted expenses exceed the actual expenses, the result is a negative actual net income.\nb. when the actual expenses exceed the actual income, the result would be a negative dollar amount.\nc. when the budgeted income is less than the actual income, the result is a negative actual net income.\nd. when the actual expenses are less than the actual income, the result is a negative dollar amount.

Answer

Answer:

B. When the actual expenses exceed the actual income, the result would be a negative dollar amount.

Explanation:

Step1: Recall net - income formula

Net income = Actual income - Actual expenses.

Step2: Analyze negative net - income condition

If Actual expenses > Actual income, then Actual income - Actual expenses < 0, resulting in negative net income.

Step3: Evaluate each option

  • Option A: Budgeted expenses compared to actual expenses is not relevant for calculating actual net income.
  • Option B: Follows the correct logic as per the formula.
  • Option C: Budgeted income compared to actual income does not directly determine actual net income negativity.
  • Option D: When actual expenses < actual income, net income is positive.