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In Response to the Same External Force, the Return on One

question 9

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In response to the same external force, the return on one investment may increase while the return on another investment may decrease.


Definitions:

Income Stream

Income stream is a consistent flow of money received from an investment, work, or property over a period of time.

Dividends

Payments made by a corporation to its shareholders, usually in the form of cash or additional shares, from its net profits.

Retained Earnings

The portion of a company's profits not distributed as dividends to shareholders but reinvested in the business.

Dividend

A segment of a corporation's profits given out to its shareholders, typically as cash or more shares.

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