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

Category: Finance Dictionary

EXOGENOUS VARIABLE

An external, independent variable having affect on a model, but not affected by the model. The model builder specified the variable but set no qualitative characteristics or value generation method. An exogenous

EXPECTATIONS THEORY

A theory of INTEREST RATES indicating that the expectations of investors influence the TERM STRUCTURE of rates. Thus, if investors expect future rates will be higher than current rates, the YIELD CURVE

EXPENDITURE METHOD

A method of economic forecasting. The technique of adding consumption, government spending, investment and exports together as a measure of gross domestic product (GDP).

EXPERIAN

Primary credit-reporting bureaus. One of the three best known.

EXPLANATION

Commentary that is made to clear up a subject to make linkages clear in a concept. Refer to definition and description.

EXTENDED DEATH BENEFIT

Group policy rule that pays life insurance benefits if the insured party is disabled from the time premiums are not paid until that person dies. It is also paid if the person

EXTERNAL AGENTS

A party that interacts with an organization and influence performance but do not control things directly.

EXTERNAL STATEMENT

A financial statement that tells outside parties the firm’s position and their results. They give detailed information to help with decision making and management.

DAISY CHAINING

1. the way several peripherals are connected to the computer. A cable is used to do this. The device responds the information or commands sent to it. This is done via daisychain

DATA FUSION

Making raw data from sources to get better information. It is more useful than a single source of data.

DATE OF AGREEMENT

The date when an agreement is signed. It can be pre or post dated on the actual signing date.

DAY COUNT CONVENTION

A mechanism for computing COUPON payments/receipts on a FIXED INCOME security. Day count conventions, which vary by instrument, market, and country, are based on the period between coupon payments, the number of

DEAD SPACE

The space between the floor and the ceiling or between walls that face eachother.

DEARTH

When the supply is low and is having difficulty meeting its demand.

DECEASED ACCOUNT

When a bank account is owned by a now dead person. It is frozen while it awaits for instructions from the executor. Issues about heirs and creditors are considered at this time.

DECLINE STAGE

The last stage in a products life that has declining sales and less customers. It is caused by obsolescence, customer changes, competition, or new requirements.

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