Listed Below Are Five Terms Followed by a List of Phrases

question 177

Multiple Choice

Listed below are five terms followed by a list of phrases that describe or characterize each of the terms. Match each phrase with the correct term.
-Equity

• A)Net assets.
• B)Transfers of resources in exchange for common and preferred stock.
• C)Claims of creditors against the assets of a business.
• D)Outflows of resources to generate revenues.
• E)Cash dividends.

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Definitions:

Statement Of Financial Position

A financial statement that shows the assets, liabilities, and equity of an entity at a specific point in time, providing a snapshot of its financial condition.

Net Debt

A financial metric calculated by subtracting total cash and cash equivalents from total debt, indicating a company's ability to pay off its debts if they were all due immediately.

Non-Business Organization

An entity that operates for purposes other than making a profit, such as charities, educational institutions, and government agencies.

Restrictive Funds

Funds that are designated for a specific purpose by donor requirements or legal obligations, restricting general use by the recipient.