A Summary of Changes in the Earnings Retained by the Corporation

question 2

Multiple Choice

A summary of changes in the earnings retained by the corporation for a specific period of time is known as a(n) :

• A)income statement.
• B)balance sheet.
• C)statement of cash flows.
• D)retained earnings statement.

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Definitions:

Simulation Analysis

A method used in financial planning that assesses the impact of different variables on a model's outcome to predict possible outcomes under different scenarios.

Range of Values

A set of values that includes the minimum and maximum values within a given dataset.

Cash Basis

An accounting method where revenues and expenses are recorded when they are actually received or paid out in cash.

IRR

The Internal Rate of Return is a financial measurement tool used to assess the profitability of prospective investments.