Aging
Investorline A process where accounts receivable are sorted out by age (typically current, 30 to 60 days old, 60 to 120 days old, and so on.) Aging permits collection efforts to…
Accounting period
Accounting period in bookkeeping is the period with reference to which accounting books of any entity are prepared. It is the period for which books are balanced and the financial…
Accrual
Accrual (accumulation) of something is, in finance, the adding together of interest or different investments over a period of time. It holds specific meanings in accounting, where it can refer…
International standard (Finance)
International standards are standards developed by international standards organizations. International standards are available for consideration and use, worldwide. The most prominent organisation is the International Organization for Standardization. International standards…
The Modigliani-Miller theorem
The Modigliani-Miller theorem forms the basis for modern thinking on capital structure. The basic theorem states that, in the absence of taxes, bankruptcy costs, and asymmetric information, and in an…
What is Beta?
In finance, the Beta (β) of a stock or portfolio is a number describing the relation of its returns with those of the financial market as a whole. An asset…
What is meant by OTC?
Over-the-counter (finance) Within the derivatives markets, many products are traded through exchanges. An exchange has the benefit of facilitating liquidity and also mitigates all credit risk concerning the default of…
What is Interim Dividend
Interim Dividend Is Defined As The Declaration Of The Dividend By The Company Before The Annual General Meting.
What are Retained earnings
In accounting, retained earnings refers to the portion of net income which is retained by the corporation rather than distributed to its owners as dividends. Similarly, if the corporation takes…
Is Profit a Liability or Asset?
It is a liability from the company point of view as it owe it to its shareholders, that is the reason it is added to the reserves under the liabilities…