Which term describes income after deducting taxes?

The term that describes income after deducting taxes is net income. Net income represents the total profit of a company after all expenses, including taxes, have been subtracted from total revenue. It is a crucial metric as it reflects the actual profitability available to the company's stakeholders, such as shareholders, after accounting for tax obligations.

In contrast, gross profit refers to the revenue remaining after subtracting the cost of goods sold, without considering other operating expenses or taxes. Operating income is derived after subtracting operating expenses from gross profit but again does not account for taxes. Revenue represents the total income generated from sales before any deductions are made. Each of these terms plays a distinct role in financial reporting, but only net income provides a clear view of the profit after taxes are taken into account.