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Discuss the potential behavioural implications of performance evaluation.
Balance Sheet Equation
An accounting formula representing the relationship between assets, liabilities, and owner's equity (Assets = Liabilities + Owner's Equity).
Retained Earnings
The portion of net income not distributed as dividends to shareholders, but retained by the company to reinvest in its business or to pay debt.
Net Income
The profit of a company after all expenses, taxes, and costs have been subtracted from total revenue, a key indicator of financial health.
Net Cash Flow
The amount of cash generated or lost by a company in a given period, considering cash inflows and outflows from operating, investing, and financing activities.
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