The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

Category: O

OPEN ENTRY

The conspicuous entry of a non-occupant into a premises or property, usually with witnesses present.

OPEN POSITION

1. A forward contract that has not been cashed in by an offsetting contract or through the delivery of the asset that is covered. 2. A situation in which a trader could

OPEN-BOOK CREDIT

A credit system in which merchandise may be received based only on the promise of payment.

OPERATING CASH FLOW

Overall income, adjusted for depreciation and the amortization of costs and assets.

OPERATING INTEREST

Legal owner of oil and gas rights, including revenues produced, but also responsible for operating costs.

OPERATING TIME

The time it takes a system to produce an output from the moment it is first requested by a user.

OPERATIONAL RISK

The projected losses that could occur due to a firm’s internal deficiencies, or through the breakdown of its systems.

OPPORTUNISM

Exploiting situations for personal gain, without considering others.

OPTION SPREAD

The simultaneous buying and selling of multiple options on the same underlying asset.

ORBIT

The practice of increasing net audience by showing a commercial at different times.

ORDER OF MAGNITUDE

To increase or decrease some aspect of a process (e.g. output, efficiency, waste) by a multiple of 10.

ORDINARY CONSTRUCTION

Buildings that have wooden joists, stairwells with only limited protection and finishes that limit where a fire can spread.

ORGANIC FARMING

Agricultural production processes that only use natural sources of nutrients and do not use synthesized chemicals or genetically modified crops.

ORGANIZED

1. To employ a logical system to structure otherwise random or chaotic elements. 2. To operate in an efficient or methodical manner.

OSMOSIS

Movement of a solvent towards a higher concentration solution from a lower concentration solution. Osmosis occurs through a semipermeable membrane that keeps the two solutions separate, but can be passed by the

OTHER SOURCES

Sources of additional funding during a business period, other than depreciation or tax deferral. Sources include lease agreements, retained profits, hire purchases, etc.

OUTBOUND CASH FLOW

Money that the company must pay out (e.g. salaries, supplies, rents, taxes). Hopefully, the total outbound cash flow will be less than inbound cash flow (i.e. money coming into the business).

OUTPERFORM

A market analyst recommendation that means a stock will generate slightly better returns than the market as a whole.

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