Examlex
The minimum equity position required for all new McDonald's franchises is an example of:
Owner's Equity
The net worth of an owner in a company, calculated as the difference between the company's assets and liabilities.
Liabilities
Financial obligations or debts of a business that are due to be paid to creditors in the future.
Accounting Equation
The foundational principle in accounting that states assets equal liabilities plus shareholders' equity.
Profitable
Refers to a financial state where income exceeds expenses, resulting in a positive gain.
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