A Curve That Plots Customer Profitability, After Ranking Customers in Order

question 14

True/False

A curve that plots customer profitability, after ranking customers in order of their profitability is know as a whale curve.

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Definitions:

Common Stock

A form of corporate equity ownership, a type of security representing ownership in a corporation and a claim on part of the company’s profits.

Retained Earnings

Accumulated net income of a company that has not been distributed to shareholders as dividends.

Paid-In Capital

Paid-in capital is the amount of money that a company has received from shareholders in exchange for shares of stock.

Issuing Stock

The process by which a company raises capital by distributing shares of its ownership to investors.