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Why Might an Organization Choose to Diversify

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Why might an organization choose to diversify?


Definitions:

1099 Form

A tax form in the United States that reports various types of income other than wages, salaries, and tips.

Effective Tax Rate

The average rate at which an individual or corporation is taxed, calculated by dividing total tax paid by the taxable income.

Taxable Income

The amount of an individual's or organization's income used to determine how much tax is owed, minus deductions and exemptions.

Federal Taxes

Taxes imposed by the federal government on income, property, and consumption to fund national programs and services.

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