Calculating net income is an important part of understanding a business’s financial health. It is the total amount of money that a business has earned during a specified period, minus any expenses incurred during the same time period. In other words, it is a measure of how much profit or revenue is left after accounting for all expenses and taxes. Knowing your company’s net income can help you make more informed decisions about investments, budgeting, and improving cash flow. By taking the time to calculate your net income accurately and regularly, you can ensure that your business continues to be successful and profitable.