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

Category: Finance Dictionary

LINEARITY

1. Un-natural, mostly theoretical property of ordered systems and straight lines, characterized by ‘good behavior,’ predictability, and simple proportions. It is not a common feature of the natural (real) world and exists

LIQUIDITYTRAP

When a company holds their assets and does not sell them. It stops any two way traffic of funds causing new buyers to enter the market.

LIVE SPACE

Area inside a wall that reflects sound, thus sustaining it.

LOAD SPREAD OPTION

An investor making periodic contributions to a mutual fund account. It spreads out the load payments as smaller ones. Also known as Spread Load Contractual Plan. An alternative is to pay fees

LOCKOUT

Employment action. An entity stops or withholds work. The work force is not allowed on entity property during this condition. It is a reverse strike by entity management, intended to compel an

LOGISTICS SUPPORT

Equipment, facilities, spares, technical information, and trained personnel procurement and distribution for a campaign, plan, or project as essential actions for their proper operation.

LONG DISTANCE CALL

Two or more central offices are typically involved in this type of telephone call.

LONG TERM LIABILITY

A year or more in the future, either from the balance sheet date or today, this obligation is due in goods or services. Disclosing its long-term liabilities with their interest rates, other

LOSING THE POINTS

A decrease on the profit return results in this condition as the current value of the investment is less that the bid.

LOSS FINANCING

Risk management techniques used to prevent loss and increase profit.

LOSS PAYABLE CLAUSE

Payment authorization clause. Covers insured payout to insured entities who are not the insured. Protects a mortgage lender, as an example.

LOT SIZE

An accepted incremental quantity or measure of what an entity is offering for sell or willing to purchase. Another name for lot quantity.

M1

demands on accounts such as circulating currency and deposits.

MACRO FORECAST

Broad, all-encompassing economic forecast covering employment and gross domestic product (GDP).

MAGNITUDE

Relative, scaled range of a specific criterion. An example is the Richter scale. It translates the magnitude of an earthquake into a scaled level that can be compared to other incidents. Also

MAJOR ASSEMBLY

Lower-level assemblies comprise, or the joining of several subassemblies become, this item.

MALICIOUS MISCHIEF

Intentional damage to property belonging to another person is an act comparable to vandalism.

MANDELBROT SET

Fractal fascinating in the richness of its detail. The French-US mathematician Benoit Mandelbrot (1924) discovered it. Mathematical formula’s output over many repetitions / iterations produces self-similar figures at an ever-decreasing scale. It

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