Laws That Prohibit the Formation of Monopolies or Alliances That

question 82

Multiple Choice

Laws that prohibit the formation of monopolies or alliances that would damage a competitive marketplace benefit consumers through

• A)increased choices.
• B)higher prices.
• C)protection from false advertising.
• D)fair debt collection practices.
• E)fewer competitors.

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Definitions:

Ending Retained Earnings

The cumulative amount of a company's earnings not distributed to shareholders as dividends but retained by the company for reinvestment or to pay debt.

Stockholder Investments

Funds or assets that shareholders contribute to a corporation in exchange for ownership interest in the form of stock.

Dividends

Dividends refer to payments made by a corporation to its shareholder members. It is the portion of corporate profits paid out to stockholders.

Expense Recognition

An accounting principle that matches expenses with revenues in the period in which the incurred expense contributes to revenue generation, regardless of when the cash transaction happens.