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

CATEGORY DEVELOPMENT INDEX (CDI)

Index of a product category, such as soft drinks, for example. Ratio of sales to the population of a specific area. It is beneficial in estimating the growth potential of a brand

CATEGORY MANAGEMENT

Marketing strategy for managing a full line of products instead of the individual products or brands. Managing occurs as a strategic business unit (SBU). The concept’s basis is that the entire product

CAUSAL

Category of cause-and-effect link or relationship. Refer to causal model.

CAUSAL MODELING

Phenomenon of mathematical representation where one or more dependent variables exhibiting cause-and-effect, or causal, relationship with one or more independent variables. Documented examples of causal modeling are ARMA and ARIMA.

CAUSE AND EFFECT ANALYSIS

A method leading to the listing of all possible reasons and outcomes associated with a particular problem or situation. It is a group process direct at uncovering possible or probable causal factors

CAUSE OF LOSS FORM

A form that lists specific causes of loss covered by a commercial insurance policy; usually an attachment to that policy.

CB LEADING INDEX

More commonly known as the leading economic index. Uses 10 leading indicators to generate a composite average. These indicators are also used to determine highs and lows in the business cycle. As

CBI REALIZED SALES

Established in 1983 by the Confederation of British Industry as a measure of early retail sales in the United Kingdom for the month. Based on Distributive Trades Surveys, given to retailers, the

CEASE AND DESIST

1. In law it is an order to prohibit starting or continuing a specific action stated in the order. Used against a person or an enterprise; usually issued by a court or

CEDING COMPANY

The insurance company that transfers to another insurance company the insurance it has written.

CEILING EFFECT

The factors or constraints triggered as higher levels, values, or scores occur. It is often due to the lessening levels of difficulty to highest scoring individuals. It lessen the possibility of measuring

CENSUS BUREAU

The government department that conducts a regional or national census. This bureau also researches the census results to provide accurate information regarding the country’s people and economy, based on the census data

CENTERLINE

Statistically, it is a horizontal line generated to represent the estimated long-term mean of a process in a control chart.

CENTRAL BANK

Empowered by the national government to manage and execute key monetary functions: (1) issue, manage, and preserve the value of the country’s currency; (2) regulate the money supply; (3) supervise and provide

CENTRAL BUYING

The centralizing of the purchasing function into a central authority by a large, multisite organization for the purpose of increasing efficiency, inventory control, and purchasing power.

CENTRAL LIMIT THEOREM

Theory of statistical regularity that a normal distribution occurs over time as the average of data observed tends to be distributed evenly under general conditions. Its hypothesis is that no matter how

CENTRAL PROCESSING UNIT (CPU)

The main processor semiconductor chip in a desktop computer. It performs most of the calculation and control functions. It consists of a circuit board in a minicomputer. In a mainframe, it is

CENTRAL PROCUREMENT

The centralization of the power to purchase any and all the needs of an enterprise or agency into one office.

CENTRAL REGISTRATION DEPOSITORY (CRD)

A database of the Securities & Exchange Commission (SEC) housing the licensing and complaint information of all brokers and some investment advisors and their representatives.

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