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Why are retained earnings considered as an uncertain source of funds? - Business Studies

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Question

Why are retained earnings considered as an uncertain source of funds?

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Solution

Because corporate earnings fluctuate.

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Chapter 18: Sources of Business Finance - EXERCISES [Page 269]

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Goyal Brothers Prakashan Business Studies [English] Class 12 ISC
Chapter 18 Sources of Business Finance
EXERCISES | Q I. C. 10. | Page 269
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