Whereas Definitions Create Mental Images for Your Listeners, Descriptions Explain

question 63

True/False

Whereas definitions create mental images for your listeners, descriptions explain or clarify the meaning of a word, phrase, or concept.

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Definitions:

Cash Dividend

A direct payment of profits from a corporation to its shareholders, often distributed quarterly.

Equity-Method

An accounting technique used by firms to assess the profits earned by their investments in other companies, by recording such profits as income.

Deferred Taxes Payable

Liabilities for taxes owed that are recorded on the balance sheet to reflect timing differences between tax laws and accounting practices.

Net Income

Net Income is the total profit of a company after all expenses, taxes, and costs have been deducted from total revenue, indicating the company's financial health.