Primary Stakeholders Have A(n)______ Interest in an Organization

question 42

Multiple Choice

Primary stakeholders have a(n) ______ interest in an organization.

• A)indirect
• B)provisional
• C)direct
• D)media

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Definitions:

Deficit

A debit balance in the retained earnings account.

Retained Earnings

The portion of net earnings not distributed as dividends but retained by the company to reinvest in its core business or to pay debt.

Treasury Stock

Shares that were once issued and outstanding but were subsequently repurchased by the company, reducing the number of shares on the market.

Organizational Expenses

Costs related to the formation and operation of a business entity, such as legal fees, accounting services, and incorporation fees.