____________________ Earnings Are the Amounts Left Over from Profitable Operations

question 123

Short Answer

____________________ earnings are the amounts left over from profitable operations since the firm's beginning.

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Definitions:

Cash Dividends

Payments made by a corporation to its shareholder members, distributing a portion of the company's earnings.

Operating Activities

Business actions directly related to the production, sales, and delivery of a company’s products or services, reflecting its core operations.

Indirect Method

typically pertains to the calculation of cash flows in a financial statement, where net income is adjusted for changes in balance sheet accounts to reflect cash transactions.

Accrued Liabilities

Liabilities that have been incurred but not yet paid or recorded in the financial statements.