What Does Retained Earnings Mean?

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What does Retained Earnings mean? Read on to discover the definition & meaning of the term Retained Earnings - to help you better understand the language used in insurance policies.

Retained Earnings

Retained Earnings

A company's retained earnings are its net income since the year it began operating. It excludes funds that are distributed as dividends and only factors in those that have been converted into reinvestments, such as the purchase of further assets.

We hope the you have a better understanding of the meaning of Retained Earnings.

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