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

Category: Finance Dictionary

TRIPLE WITCHING HOUR

When futures, options, and equity settle on the same day. This happens once each quarter.

UNDERWRITING

Issuing securities on the primary market for an issuer. Or the act of predicting risk to ensure the possible gains are worth the risk. Refer to allornone underwriting, best efforts underwriting, and

VACANT

a building that does not have any contents or inhabitants.

VULTURE BID

When distressed assets of uncertain worth are sold at a deep discount. Refer to fire sale and vulture fund.

WIDOWS AND ORPHANS

An unsophisticated investor. They are protected from fraud or bad advice. Refer to aunt millie.

INDEX PRINCIPAL SWAP

An over the counter swap with floating interest. The principal is notational. This type of exhange is also called index amoritizing rate, accreting, amoritizing, reverse index principle, or a variable principle swap

INSIDER SYSTEM

A corporation controlled by a family. Refer to outsider system.

JOURNAL ENTRY

journal voucher financial data recorded so that credits equal debits. An audit trail of business transactions in a journal. an organization’s financial position and the effects of the transactions can be analyzed

JUNIOR PARTNER

Partner with subordinate, lesser rights, involvement, authority, accountability, risks, and rewards than any senior, superior/primary partners.

JUSTIFIED TEXT

Spacing option of a paragraph or text block to force the first and last word in a line against the margins. Not considered suitable for personal communication, like letters. Used in books

KERMIT

Software named after the Muppet frog character in the children’s educational program, Sesame Street. Controls data exchanges between PCs and mainframe computers. It is an asynchronous file-transfer protocol, largely replaced by internet

KEY TELEPHONE SYSTEM (KTS)

Alternative to a private branch exchange (PBX) phone system, smaller, cheaper, but less flexible. Allows a caller to directly select outgoing lines, incoming calls, or use intercom and conference facilities via several

LABOR LAWS

Labor laws first arrived as standards in the Industrial Revolution. Labor laws have two categories: collective and individual. Collective labor law covers union, employer and employee relationships. Individual labor law covers employees’

LANDED COST

Tally of purchase price, freight, insurance, and miscellaneous costs up to the port of destination. It typically includes shipment customs duties and tax levies. The total cost of a landed shipment.

LATENT DEFECT

Defect in an item found after the delivery of the item, discovered through the normal use of the item. This defect type is typically not found through normal inspection/investigation techniques. The defect

LAW OF EFFECT

Behavioral observation: behavior, regardless how varied, is chosen for the expected outcome, be it satisfying, painful, rewarding, or losing. Pleasant outcomes brings repeated behavior. Unpleasant outcomes are less likely to bring repeated

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