1. In Purchasing, this is an agreement to freeze the maximum limit, ceiling or cap, and/or the minimum limit, or floor. 2. In Investing:, this is a provision in a stock-swap acquisition

Assigning an asset whose ownership rights are moving only as an additional security for a loan. These rights will revert to the assignor when the loan is repaid. Refer also to assignment

Written or oral agreement associated as a second, or side contract made between the original parties, or between a third party and an original party. This typically occurs before or at the

Legal principle. If a written main contract is challenged, the evidence of a second contract may not be ignored under the parol evidence rule, even if expressed but oral. This rule gives

Securities of subsidiary firms typically from holding firm or against its own bonds or other obligations by an investment trust . Short term debt security. Known also as collateral trust certificate or

Pledging collateral identified an asset or property..

Mechanism for converting junk grade bonds into an investment grade asset based securities (ABS). Debt financing. In this process a bank’s portfolio of low-rated bonds, as the underlying collateral for an issue

Asset backed security (ABS), structured like a collateralized bond obligation (CBO). Instead of its bonds, it is based on a bank’s portfolio of personal loans.

A SECU RITIZATION structure that repackages pools of MORTGAGE BACKED SECURITIES, WHOLE LOANS, or mortgagebacked STRIPs into TRANCHES with specific RISK and return (YIELD) profiles. CMO structures are available in many different

Asset backed security (ABS), structured like a collateralized bond obligation (CBO). Instead of being based on its bonds, it is based on a bank’s or a governmental agency’s portfolio of mortgage loans.

A known employee or peer in the same profession, business or organization. Known also as coworker.

Charges for transportation owed by the consignee, be it a shipment or a delivery. Known also as charges collect, charges forward, or freight collect.

Goods transported out using free on board (FOB), terms.

Items such as antiques, art, books, coins, that are rare and valuable, bought for their potential future worth as an investment. This worth usually increase in inflationary times and deceases in deflationary

1. In General, this is a process for recovering delinquent amounts owed to a firm by a customer. 2. In Banking: this is the (1). presenting a check or draft as payment,

Time a firm takes to collect its accounts receivables. Stated as an average number of days. It is the period between delivering an invoice and receiving the payment.

Group’s steps or actions while working toward a common goal. When individuals engage in collective action, the strength of the group’s resources, knowledge and efforts combines all parties to more readily achieve

Every member’s responsibility regardless of an individual member’s involvement in decisions or the member’s position or rank. Refer also to consensus and doctrine of individual responsibility.

A statement of accomplishment given by a college to students attending and completing a higher learning institution rigor in specific areas of study. This means that required credits have been obtained. Several

The release of the renting firm’s right to recover collision damages from the person renting the vehicle. Optional insurance on a policy, sold typically through auto rental firms, covers this.