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Separate Legal Entity
A business structure that is legally distinct from its owners, allowing it to own assets, incur liability, and conduct business in its own name.
Corporation
A legal entity formed by individuals, shareholders, or shareholders, recognized as separate from its owners with its own rights and liabilities.
External Users
Individuals or entities outside of a company, such as investors, creditors, and regulatory agencies, who rely on financial statements to make decisions about the company.
Accounting Information
Financial data and statements that provide insight into a business's economic activities and financial health.
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