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Match the Following Terms to Their Meanings

question 48

Multiple Choice

Match the following terms to their meanings.
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Definitions:

Accounting Equation

A fundamental principle in finance representing the relationship: Assets = Liabilities + Equity.

Assets

Resources owned or controlled by a company, expected to produce future economic benefits.

Equity

The value of an ownership interest in property, including shareholders' equity in a business.

Liabilities

Financial obligations or debts that a company owes to others, which must be settled over time through the transfer of economic benefits including money, goods, or services.

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