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

Category: Finance

PREMIUM PRICING

A technique in which brands try to sell their products at a higher price compared to the general market, in order to create a brand image.

PACKAGE CLAUSE

A package clause allows the borrower to combine various different loans with the actual mortgage on the home, and then fix an installment per month in lieu of all the loans.

PAGEVIEW

A pageview is a single access of a page on a website by a certain visitor. There is a difference between a apge view and a ‘hit’ on a page, because the

PANACEA

A mythological term that is supposed to be the remedy of all illnesses and diseases. Similarly, panacea is also used to provide a symbol for something that can solve all of a

PARENT PART

A finished good that has been created, assembled or borne out of other parts and/ or components.

PART PAYMENT RULE

A rule which states that if a payment is made in parts, it cannot be used to satisfy for the entire sum that is due.

PASSIVE ACTIVITY LOSS RULES

A regulation set by the IRS which forbits businesses to show losses that were incurred by passive activities on their balance sheets, so as to reduce the amount of taxes that htye

PAST DUE LOAN

A loan which has passed its due date. Usually, it is referred to as a ‘past due loan’ when payments fall behind for over a couple of months, regardless of the fact

PATRIOT ACT

An Act that was put in to motion in September 2001, after the terrorist attacks. This act allows the government to track, and monitor all channels of communication between two individuals, for

PEAK PERIOD

The time of the day, or period during which the demand for goods and services is at its acme.

PENDENS LIS

Any changes, claims or disputes that are related to real estate property. They must be recorded in order to register actions.

PERCENT

A fraction of 100. Usually, percentages are calculated by dividing 1/100 with the given value. The symbol used is %.

PERFECT LIQUIDITY

The ability of any asset to be converted to cash immediately, without facing any loss in its value.

PERIODIC INVENTORY METHOD

A method by which the inventory is controlled without keeping any receipts or issues. At the end of every period of accounting, the final inventory is analyzed and an actual count is

PERMANENT CAPITAL

An ordinary share, or common stock which does not need to be paid back. It is known as permanent financing too.

PERMEABILITY

A characteristic of any substance or material which denotes the degree to which it allows liquids to pass through another medium, without altering the chemical or physical traits of the substance.

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