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

Category: Finance

ORGANIZATIONAL PLANNING

This process entails staffing and resource allocation to immediate and long-term goals, and is one of the most vital responsibilities of a management team.

OUTBOUND CASH FLOW

Money that the company must pay out (e.g. salaries, supplies, rents, taxes). Hopefully, the total outbound cash flow will be less than inbound cash flow (i.e. money coming into the business).

OUTPERFORM

A market analyst recommendation that means a stock will generate slightly better returns than the market as a whole.

OVERABSORPTION

Credit balance in a factory overhead account, caused by over-estimating the cost of overheads in a given period.

OVERHANG

Describes the bit of roof that extends beyond an exterior wall.

OVERNIGHT DELIVERY RISK

The risk that a seller in a different time zone might not fulfil their obligation, which the buyer will only discover on the following trade day. The greater the time zone difference,

NOMINAL WAGE

Wage in current dollars, as an indicated of its purchasing power of goods and services. It differs from its true value.

NON ZERO SUM GAME

The sum of winnings and losses of all player does not add up to zero and represents a possibility where everyone can win. In game theory, this refers to the situation when

NON-BUSINESS DAY

Days such as public holidays or the weekend when business transactions do not take place. If a contract is due on a non-business day, it is usually processed on the first business

NON-DELEGABLE DUTY

1. General: An obligation that cannot be outsourced to a third party according to the terms of the contract. In the event that it is delegated, the second party reserves the right

NON-EXCLUSIVE LICENSE

A license that grants several licensees within the same industry, the same rights to an intellectual party at the same time or consecutively.

NON-INTEREST EXPENSE

Obligations such as wages that have to be fulfilled, without worrying about interest accrual.

NON-OPERATING ASSET

An asset or investment such as interest income from a fixed deposit, that generates additional income for a business, but is not a part of the operation of the business.

NON-PRODUCTION COSTS

Costs such as the administration costs that are a non-contributing factor to the manufacturing cost of a product.

NON-RENEWABLE RESOURCE

Natural resources such as gas, coal, etc that can be consumed only once and hence are irreplaceable. Currently, most of the energy resources that we use are non-renewable. The renewable resources are

NON-TRADITIONAL BALANCE SHEET

A balance sheet based on the concept that equal value should be placed on a firm’s intellectual and physical assets. As such, it assigns an arbitary value to intellectual assets, intellectual capital

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