If the Parties Involved Agree That Personal Property Will Be

question 20

True/False

If the parties involved agree that personal property will be considered a fixture, it will be deemed to be a fixture without the application of legal tests.

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Definitions:

Retained Earnings

The portion of a company's profits that is not distributed to shareholders as dividends but is kept back in the business for reinvestment or to pay off debt.

Equity Financing

The method of raising capital by selling company shares to investors; in return, investors receive ownership interests in the company.

Capital Gains

The increase in value of an asset or investment above its purchase price, realized upon the sale of the asset.

Clientele Effect

A theory suggesting that the types of investors attracted to certain stocks or dividends policies can affect the stock price or policy sustainability.