Category: Finance Dictionary

Intangible asset’s lawful duration. Patent or copyright is an example of such an asset. If an asset’s economic life is shorter than its legal life, the computed amortization uses the economic life.

It may or may not also be a depository institution. A bank, credit union, or finance company that makes loans.

Goods, services, space, agreed-to prices, terms, and time are all particulars documented in what becomes a binding contract once the associated parties all sign it.

Refuseal to comply with a stated contract requirement is documented in this written confirmation. Clearly states why and must suggest alternatives for resolution. A subcontractor or vendor not willing to disclose proprietary

Buyer interest for a specific product in a specific purchase decision as a degree of intensity.

A three-party lease contract for an asset bought by the lessor by borrowing most or all of the monies to purchase the leased asset. Under this contract, (1) the lessor has no

Someone entitled to an asset’s use during one’s lifetime, named as a beneficiary

Upon untimely death of its policy holder, the insured, a financial intermediary as the insurer, shares the financial risk.

Personal goods and merchandise are exported overseas in this sturdy wooden crate.

At a specific maximum or minimum price, client-to-broker instruction say buy or sell an item. An action in commodities and securities trading. A balance may be kept for later execution If the

An insured’s whole life is covered by this insurance but only required for a set numbers of years to pay premiums.

A revenue-generating department’s head manager accountable for policy making, target setting, decision making leading to successfully meeting an organization’s main objectives.

Long distance cargo transport for more than 1,500 kilometers or 1,000 miles between two major cities or ports.

Entity that sells categorized lists for use in direct mail campaigns, of people in a geographical area.

current is flowing through this part of electrical wiring. Contrast to a ground wire or a neutral wire. Also known as hot wire.

Built in to the insurance cost, this amount covers insurer operating cost, periodic insurer’s losses higher than anticipated, and interest earned from the insurer’s investments. The amount required to only cover losses

An arrangement allowing a chosen, earnest buyer time to complete its purchase free of pressure from competition. Seller’s and buyer’s written or oral contract requiring that the seller not seek or accept

Statistical estimation technique for straight-line, linear relationships between two or more variables. A dependent variable is influenced by one or more independent variables in this case. The data values, converted to their

A yield curve of more than seven years. Refer to belly of the curve and short end.

Five years or longer strategy to achieve intended performance goals of an organization. Planned improvements of organization’s competitive position, profitability, technology leadership, investment gain, productivity, employee relations, and corporate image are considered