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Equity Method
An accounting technique used to record the investments in other companies where the investor has significant influence but does not have full control.
Gross Profit
The difference between revenue and the cost of goods sold before accounting for other expenses.
Intra-Entity Sales
Transactions of goods, services, or assets between divisions within the same organization.
Significant Influence
The capacity to affect the financial and operating policies of another entity without having control or full ownership, often through ownership of a sizable percentage of voting shares.
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