What are corporate profits?

Corporate profits represent the financial gain that a corporation achieves after all its expenses have been deducted from its total revenue. This means that profits reflect the surplus generated when a company's income from its operations is greater than the costs associated with running that business. These costs can include everything from production expenses to administrative costs and taxes. Therefore, option C correctly captures this concept, emphasizing that corporate profits are essentially the earnings that remain once a business has covered all its operational expenses.

Other options do not accurately define corporate profits. Total revenue (the first option) simply refers to the gross income from sales without accounting for expenses, which means it doesn't reflect profitability. Funds reinvested back into the business (the second option) may come from profits but do not define profits themselves. Lastly, compensation paid to employees (the fourth option) is an expense for the corporation and does not represent profit.