What do revenues minus expenses represent in an income statement?

Revenues minus expenses in an income statement represent net income or loss. This figure is crucial because it reflects the overall profitability of a company during a specific period. When revenues exceed expenses, the result is net income, indicating that the company has made a profit. Conversely, if expenses surpass revenues, the result is a net loss, signifying that the expenses incurred are greater than the income generated.

In the context of an income statement, net income or loss is the final result after all revenues and expenses have been accounted for, encompassing all operating and non-operating activities for the period. This information is vital for stakeholders, including investors and management, as it provides a clear picture of the company's financial performance and profitability.

The other terms in the choices refer to different calculations within the income statement. Gross profit pertains to sales revenue minus cost of goods sold, while operating income is calculated by subtracting operating expenses from gross profit. Operating profit typically refers to the same concept as operating income. However, these are not the final measure of profitability, which net income or loss represents, making that designation the most comprehensive and significant of the options provided.