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The most effective set of classroom rules is one that specifically spells out as many of the "do's and don'ts" as possible.
External Financing
Funds raised from sources outside the company, including banks, investors, or public markets.
Operating Capacity
The maximum output or the level of service that a company can achieve with its current resources under normal conditions.
Dividend Payout Ratio
A financial metric that shows what percentage of a company's earnings are distributed to shareholders as dividends.
Additional Debt
Borrowing more funds in addition to existing debt, which can increase a company's leverage and financial risk.
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