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Most Fortune 500 Companies Use a ________ Structure Because It

question 9

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Most Fortune 500 companies use a ________ structure because it allows them to grow and expand their operations while maintaining control over their activities.


Definitions:

Retained Earnings

The portion of a company's profits not distributed as dividends but reinvested in the business or kept as a reserve.

Common Shares

Units of ownership in a company that grant shareholders rights to vote on company matters and receive dividends, representing equity in the corporation.

Gross Profit

The income a company retains after subtracting the expenses related to the production and sale of its goods, or the expenses incurred from providing its services.

Non-Controlling Interest (NCI)

The portion of equity in a subsidiary not owned by the parent company, also known as minority interest.

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