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

Category: Finance Dictionary

MOMENT OF TRUTH

The customer’s opportunity to form or change an impression about the firm. That instance of contact or interaction between a customer and a firm. A product, sales force, or visit is often

MONITORING

To ensure one is on course and on schedule in meeting objectives and performance targets, one supervises activities in progress.

MOOT POINT

Raised during a debate, this type of matter has absolutely no effect on the debated controversy.

MORNINGSTAR SYSTEM

Rating scale for US mutual funds. Uses a one star (lowest) to five stars (highest) range. Ratings based on a fund’s risk-adjusted performance over a 3, 5, and 10 year period. Morningstar,

MORTGAGE LOAN PAYABLE

Throughout the accounting period on the balance sheet principal interest payment transactions are recorded. The balance is transferred to the next accounting year if the principal is unpaid at the end of

MULTI-BRAND STRATEGY

Under different and unrelated brands two or more similar and competing products are marketed by the same firm. Multi-brand strategy has some advantages as a means of (1) holding more shelf space,

MULTIFUNCTIONAL PERIPHERAL

One compact unit that combines fax, phone, scanner, copier, and printer functions is this type of office appliance.

MULTIPLE SOURCING

Using many different providers of components and services in the production process. This reduces production risk to the supply chain if it has a problem and keeps production on track in the

MUNICIPAL IMPROVEMENT CERTIFICATE

To fund projects, local governments used this specific type of certificate . The loans issued with this certificate are interest and tax free. This helps minimize the cost to the local governments

MYSTERY SHOPPER

Posing as a casual shopper, gathering information on the stores’ display, prices, and sales staff quality, this specific type of person is hired by a market research firm or a manufacturer to

NASDAQ OTHER

This system keeps tabs on certain bids and offers not listed on NASDAQ or not quoted.

NEGATIVE SUM GAME

Decision theory’s ‘lose-lose’ situation. All participants lose as the negatives or losses outweigh the positives or winnings, and no one leaves with anything positive or any winnings. Also refer to positive sum

NESTED

1. Each member is contained in or contains the next items in a set forming a chain, hierarchy, or sequence. 2. Different sized hollow articles, like boxes, a the smaller one placed

NET CONTRIBUTION

After subtracting all necessary deductions, this is the amount that remains.

NET INCOME MULTIPLIER

An asset’s worth as an amount, calculated over time, measuring the asset’s income produced.

NET MIGRATION RATE

People moving into a country counted minus people moving out of the same country counted. High migration counts (in) or emigration counts (out) can cause unemployment problems in specific areas as either

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