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

Category: O

OPTIONAL DIVIDEND

A dividend that may be paid to a shareholder in the form of cash or additional shares.

ORDINARY INCOME

1. Business: Income that is obtained by day-to-day business transactions, excluding the sale of capital. 2. Personal: The amount of an individual?s income that is subject to full tax rates (and not

ORGANIC POLLUTION

Pollution that occurs when organic substances emit pollutants into the environment. These pollutants can usually be oxidized by naturally occurring micro-organisms.

ORIENTATION

Initial induction of new employees into organizations. Objectives include developing employee commitment, easing anxiety, promoting organizational expectations and explaining what the employee can gain from working with the organization.

OTHER ASSETS

Classification term that applies to minor assets (e.g. scrap value of outmoded equipment) when recorded on balance sheets.

OUT OF CONTROL

The state of a process when outputs / samples are no longer within statistical control. A control chart of such a process will show data points that are not clustered around the

OUTLIER

1. A statistical data point that lies outside of normal distribution. 2. A person who lives or works far from major conurbations.

OUTPUT STANDARD

A measurable standard that expresses the amount of energy, work, goods or services a process should produce in a given period.

OVER-CERTIFICATION

When a certification authority approves a greater payment than is actually due.

OVER-IMPROVEMENT

Occurs when spending money to improve a property is no longer the best use of the property, or is too expensive when compared to the cost of improving other properties.

OVERSHOOT AND COLLAPSE

Activity that occurs when feedback or corrective action is delayed or poor. Most evident in the collapse of economic cycles and social units, when natural resources are exhausted and when an ecosystem

OWNED RECEIVABLES

On their financial statements, a company reports payments received for products or services.

OBJECTS CLAUSE

The objective for the formation of the company is stated in the Objects clause. A firm is acting ultra varies or beyond its powers if the firm’s activities breaches this clause.

OCTANE

A compound that is the liquid state and is highly flammable that is used to process petroleum. It is an important component used to determine the antiknocking properties of gasoline.

OFF THE BOOK

The non keeping of an official record for a payment or receipt of money

OFFLINE READER (OLR)

A progam that automatically downloads emails and other files onto the user’s computer from the internet and allows for their reading at the user’s convenience even when offline.

OFFTAKE AGREEMENT

An agreement that takes place between a producer and a buyer before the construction of a facility, that guarantees a market for the future production of a facility. This increases the chances

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