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

Category: F

FUTURES MARKET

Trading market for buying and selling commodities and future delivery contracts. Provides a place for hedging and speculating, complementary activities. Mitigates wild price fluctuations when gluts and shortages occur.

FACTOR COST

The cost of the factors of production used to make something.

FAIL TO RECEIVE

A situation where a buying DEALER has not received securities from the selling dealer, and will thus not make its payment. Fails are commonly used as a measure of operations-based PROCESS RISK.

FAMILY DEPENDENT

A party that is covered because they are the spouse or child of the policyholder.

FAT TAIL

A portion of a statistical distribution that is wider or larger than expected, increasing the probability that an extreme or unexpected value will result.

FIBER OPTIC TRANSMISSION

Sending signals as pulses of light through a media to get the most of it. The most possible is 2 trillion b/s. It is immune to static and is secure as well.

FIELD SERVICE ADVICE

A memo about a rulig on taxes by the IRS that a tax payer asked for. It is done by guidelines and is binding but not legal precedent.

FILING HIERARCHY

Arrangement of files in a system that stores them as principle of subordination. It uses high and low criteria.

FINANCIAL COMMITMENT

Commiting to a big expense in the future. They are liabilites and are on a balance sheet even if its not yet happened. When it happens it will be a liabilty. Refer

FINANCIAL IMPACT

A cost or profit loss that happens due to disaster that is beyond control. This can be due to disaster, market conditions, or product failure.

FINANCIAL PLANNING

A long term profit planning that gets more profit and solves problems that exist.

FINANCIAL STABILITY PLAN (FSP)

A plan to stablize the economy used in the US in 2008-2009. It was intended to solidify the banking systems, stock market, and mortgage markets. It was administered by President Obama.

FINANCING REQUIREMENT

The money needed to start any plan or project. The money reported can be projected or actual.

FIRST LOSS

In an INSURANCE or REINSURANCE arrangement, the position that absorbs the initial losses arising from damage or destruction. The first loss position can be created through a DEDUCTIBLE where the INSURED bears

FISCAL AGENT

A party that is an agent for a principal. They pay rent, distribute dividends, adn pay debts as well as other responsibilities.

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