The correct answer is: D. retained earnings
Retained earnings are the cumulative net income of a company that has not been paid out to shareholders as dividends. They are a company’s most important source of internal financing, and can be used to fund new investments, pay down debt, or increase shareholder equity.
Net profit is the total revenue of a company minus its total expenses. It is the amount of money that a company has left over after paying for all of its costs of doing business.
Net operating profit is a measure of a company’s profitability from its core business operations. It is calculated by taking a company’s net income and subtracting any non-operating income or expenses, such as interest income or expense.
Capital profit is the difference between the sale price of an asset and its book value. It is realized when an asset is sold for more than its original cost.
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