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Explain how banks benefit from specialization in lending.
Capital Account
An account showing the net worth of a business, influenced by owner's contributions, withdrawals, and the business's earnings or losses.
Partners' Equity
The interest or claim that partners have in the assets of a business, equal to the total assets minus liabilities and other equities.
Equity
The amount of money that would be returned to shareholders if all of the assets were liquidated and all of the company's debt was paid off.
Liquidation
The process of closing a business, selling its assets to pay off liabilities, and distributing any remaining assets to owners or shareholders.
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