Examlex
If the return on common stockholders' equity is less than the industry standard,it means the company is using debt financing successfully.
Short and Long Run
Terms used in economics to distinguish between time periods; the short run considers some factors as fixed, while in the long run, all factors of production are variable.
Loan Covenant Violations
Occur when a borrower fails to meet one or more conditions of the loan agreement, potentially leading to penalties or the loan being called due.
Accounting Changes
Amendments in accounting principles, estimates, or the reporting entity that affect the financial statements of a company.
Reported Earnings
Reported earnings refer to the net income of a company as stated in its income statement, in compliance with the relevant accounting standards.
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