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

Category: Finance Dictionary

NET ACCOUNTS RECEIVABLE

Accounts receivable amount collectable by the firm’s reasonable confidence. Formula: Accounts receivable minus the bad debt allowance.

NET INCREASE

New policies written and renewed as a count minus policies lapsed or cancelled as a count. The insurer easily calculates to know the total periodic business the insurer has in force.

NET OPERATING ASSETS

Business liabilities subtracted from business operating assets. Gives an accurate picture of the company’s value. Calculated as: Operating assets minus financing activities cost.

NETWORK ECONOMY

Information technology used for interlinking business processes and economic activity.

NEW FOR OLD

Instead of repairing old parts, replacing old or damaged parts by this type of purchasing new parts.

NEWLY ACQUIRED BUSINESS

A merger, takeover or other business acquisition transaction is how another company acquires this type of recently purchased business unit.

NICHE MARKETING

A small but specific and well-defined population segment is the focus of this concentrated marketing effort. As a strategy, niche marketing is aimed at being a big fish in a small pond

NO CASE TO ANSWER

Defendant’s submission that the opposing party has no case to rebut, with no evidence, and no legal grounds. End of the trial and release of the defendant comes from a successful no-case

NO SHOW

In general, an entity that fails to be where intended, when intended, without notification. 1. Person that misses a meeting he was supposed to, or who buys a ticket to a public

OPEN BOOK

When liabilities have a shorter maturity date than the assets.

PATH-DEPENDENT OPTION

An option whose payment depends on the price path of the asset at another time. There are many types of this option. Refer to path independant option.

PINK SHEETS

The records used to report securities and penny stocks. Before the internet it was recorded on pink paper.

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