CONCENTRATION RISK Definition

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CONCENTRATION RISK is the risk that an investor will suffer from lack of diversification, investing too heavily in one industry, one geographic area or one type of security.

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PROFITABILITY RATIOS are measures of performance showing how much the firm is earning compared to its sales, assets or equity.

OTHER INFORMATION, in accounting, is financial and nonfinancial information (other than the financial statements and the auditor's report) included in a document containing audited financial statements and the auditor's report thereon, excluding required supplementary information.

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