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Fundamental Analysis Attempts to Determine the Intrinsic Value of Stock

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Fundamental analysis attempts to determine the intrinsic value of stock by analyzing company conditions,industry conditions,and economic conditions.


Definitions:

Limited Liability

A legal structure that protects business owners' personal assets from company debts and liabilities.

Competitive Business Conditions

The dynamic and challenging environment in which businesses operate, characterized by competition over customers, market share, and innovation.

Decision-Making Process

A series of steps a person or organization goes through to weigh the pros and cons of different options and choose the best course of action.

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