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

Category: F

FAILURE MODE

How equipment failure happens due to premature operation, scheduled failure, shutting down, during operatoin, or degraded functionality.

FAMILY INCOME POLICY

Life insurance that takes ordinary and decreasing life insurance. It helps children get payments if the person passes before a period of time. If they are still alive they get the face

FATIGUE

1.the diminshed capacity to perform due to tiredness. It happens due to exertion and can cause illness. 2. when a material can fracture under stress. Refer to fatigue strength.

FEEDER FUND

An investment that passes through for a larger investment plan.

FICTITIOUS ASSET

An asset made by accounting tha is not tangible but represents cash. It creates a fake asset that is written off ASAP.

FIELD WAREHOUSING

A mortgage that a lender gets a loan with a lien. The access is controled by the lender that releases the goods when paid.

FILTERING

Presentation of information to make it seem favorable.

FINANCIAL CRISIS

When the money supply cannot keep up with the demand for it. It means that money is no longer as liquid as it used to be. The effects banks because the funds

FINANCIAL INSTITUTION

An organization that is a channel between the parties involved in funds transfer between fund savers and fund borrowres. They are depository or nondepository insurance companies. Depository banks pay interest on a

FINANCIAL RATIOS

Analysis using statement items that reveal their logical relationships.

FINANCIAL STRUCTURE

The financing done by a firm to get the support they need for their operations. It is the structure of the companies finances.It shows investments, long term loans, short term loans, short

FINDER’S FEE

A fee paid to the middle man for arranging a deal, loan arrangement, or investment arrangement.

FIRE RETARDANT

A substance added to materials to prevent fire, delay fire, or reduce the combustion. AKA flame retardant.

FIRST ROUND FINANCING

Funds given by lenders or investors outside a firm. It happens when growth occurs at a steady rate and more is needed to keep up.More capital will be needed after the inital

FISCAL EFFORT

The profit a government collects. It depends on taxes, exemptions, and breaks that individuals or businesses are offered. It estimates the total amount that can be collected. It is a percent of

FIVE FORCES

External factors like new competitors, existing competitors, substitute products, buyers, and suppliers. It shows how viable a market is and how much profit can be expected should the firm choose to invest.

FIXED CHARGES

Overhead expenses that are related to production capacity but not the level of output. It can be rent, interest, and insurance. Refer to fixed charge.

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