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The text suggests three things to look for when trying to read a newspaper intelligently. They are the
Accrual Earnings
The earnings of a company that are calculated based on accrual accounting, which records revenues when earned and expenses when incurred, regardless of cash flow.
Realized Operating Cash Flows
Cash flows that are generated from a company's normal business operations and have been received or can be readily converted to cash.
Stock Returns
The total return on investment from owning shares in a company, including dividends received and capital gains.
Industry Average
A benchmark representing the average performance or output of companies within the same sector.
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