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

Category: N

NET ASSET VALUE (NAV)

At the financial market’s close the mutual fund’s share or unit’s daily computed value. Also known as bid price, NAV per share, or NAV per unit. Calculated as: (each security’s market value

NET FIXED ASSETS

For a point in time on a balance sheet, this is the fixed assets’ value. Calculate as: (all fixed assets’ purchase price plus leasehold improvements) minus (Accumulated depreciation plus Total liabilities).

NET LEASE

Lease arrangement by a tenant, the lessee, to pay rent plus associated general expenses. A capital lease is a net lease but an operating lease is not. The lessee may pay for

NET PREMIUM

In general, any premium with a commission, or expenses, or dividends, or loss coverage subtracted. It is a general term that can have many different meanings. In particular, it is the premium

NETBACK

Total revenue from all products made from crude oil minus total cost bringing crude oil to market. Only applies to oil suppliers.

NEW PRODUCT DEVELOPMENT

Development process for a new product or service. This development type is set as the preliminary step in product or service development. It involves steps in a protocol that must be completed

NEWSGROUP

Online discussion group for interaction via an electronic bulletin board system and chat sessions. Every conceivable subject is covered by thousands of internet based newsgroups. (refer to Usenet) (refer to internal relay

NIKKEI STOCK AVERAGE

Founded in 1949, 225 largest Japanese corporations listed on Tokyo stock exchange as a price weighted index. It holds the ‘First section’ firms’ shares, the Japanese equivalent to NYSE Blue Chips. Movement

NO DUTY RULE

Legal rule: a defendant who owes the plaintiff no duty is not liable for any plaintiff injury or damage.

NOBLE METAL

Inert or near-inert metal showing little or no chemical activity with atmosphere and mild acids. Gold, silver, and platinum are such metals. They do not rust or corrode, displaying an indefinite life

NOTIONAL

The way amounts payable and received are computed.

NARCOTIC

Trichloromethane (CHCl3) or chloroform is an example of a substance that causes narcosis.

NATIONALIZATION

A government takes over a privately owned corporation, industry, and resource, often without compensation, but sometimes with. (1) Preventing unfair exploitation and large-scale labor layoffs, (2) Distributing income from national resources fairly,

NEED TO KNOW

An entity is cautiously given specific information based on this specific type of predetermined criterion.

NEGATIVE GOODWILL

Fairly-valued assets acquired that go beyond the acquisition limit. On the balance sheet this will affect listed transactions .

NEGOTIATED MARKET

Buyers and sellers negotiate the price posted as bid and ask prices in this type of market. NASDAQ is an example. In contrast, the New York Stock Exchange and American Stock Exchange

NET ASSET VALUE PER SHARE

a mutual fund’s single share or unit value. Calculated as: (the fund’s total assets minus the fund’s total liabilities) divided by the number of outstanding shares. Also known as Average Price.

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