This glossary uses Visual Finance™ to bring financial terms to life. Each example shows data from the Round Number Company, a fictional business with simplified figures to make learning easier. For more details, visit 'How to Read Visual Finance'.
At the end of the reporting period, the company can distribute some of the profit to the Shareholders as a Dividend. The remaining profit is added to Retained Earnings to fund growth; this is the Addition To Retained Earnings.
The above is our generic explanations of common corporate financial terminology. Actual meanings can vary widely from company to company; in order to have the correct internal definition you need to ask your Finance Department, "What do you mean by that?"
term list.