Concept:Net profit is the remaining profit after deducting all expenses from the total income in the profit and loss account.
Explanation:Start with the gross profit of ₦5,000.
Add other income, which is discount received of ₦1,000.
This gives a total credit of
₦5,000+₦1,000=₦6,000.
Identify the expenses from the list: bad debts written off ₦350 and discount allowed ₦500.
Total expenses equal
₦350+₦500=₦850.
Subtract total expenses from the total income:
₦6,000−₦850=₦5,150.
Therefore, the net profit is ₦5,150.
Answer:C. ₦5,150