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Match These Terms with Their Correct Definition

question 33

Multiple Choice

Match these terms with their correct definition.
-Represent future economic benefit to the company but they lack physical substance


Definitions:

Operating Activities

Activities directly related to the primary operations of the business, including revenue and expense transactions that affect net income.

Common Stock Split

A division of a company's existing shares into multiple ones to boost the liquidity of the shares, making them more affordable to small investors without altering the shareholder's equity.

Return on Equity

A financial ratio calculated by dividing net income by shareholder equity, used to measure the profitability of a company in generating profit from its equity investments.

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