Archives for 2010

Auction Markets

Auction Markets Marketplace wherein the price prevailing is established by free interaction of future sellers and buyers, such as is carried out on the stock exchange floor. … [Read more...]

Auditor’s Report

Auditor's Report Annual report section outlining an opinion about the truthfulness of financial statements, given by the auditor. … [Read more...]

Authorized Shares

Authorized Shares The total quantity of shares that are approved by the corporate charter of firm for issuing. … [Read more...]

Autocorrelation

Autocorrelation Over succeeding time gaps, a correlation of a given variable with itself. … [Read more...]

Automated Clearing House (ACH)

Automated Clearing House (ACH) A collection of 32 regional electronic interbank networks used to process transactions electronically with a guaranteed one-day bank collection float. … [Read more...]

Automatic Exercise

Automatic Exercise Protection mechanism for option holder whereby the Option Clearing Corporation automatically ensures the exercising of an option for the holder that is "in the money". … [Read more...]

Automatic Stay

Automatic Stay A restriction on creditors from continuing collection efforts by seizing collateral. It is automatically in force when a Chapter 11 bankruptcy is filed. … [Read more...]

Autoregressive

Autoregressive Use of historical data to make predictions about a date in future. … [Read more...]

Availability Float

Availability Float Deposited checks that have not yet been cleared and funds made available to depositing firm. … [Read more...]

Average

Average Mean of some chosen stocks that are designed to represent market behavior or behavior of a component of the market. For example, Dow Jones Industrial Average. … [Read more...]

Average Accounting Return

Average Accounting Return The earning from a project after adjusting taxes and depreciation divided by the book value of the investment over its useful life, on an average. … [Read more...]

Average Age of Accounts Receivable

Average Age of Accounts Receivable A firm’s outstanding invoice age computed using weighted-averages. … [Read more...]

Average Age Of Inventory

Average Age Of Inventory Average time taken in number of days for a firm to sell its inventory product. Formula: (average cost of inventory at its present level divided by cost of goods sold) multiplied by 365. … [Read more...]

Average Collection Period, or Days’ Receivables

Average Collection Period, or Days' Receivables Accounts receivables compared to sales as a ratio, Or average AR/sales * 365 (total credit extended for each dollar of daily sales). … [Read more...]

Average Cost of Capital

Average Cost of Capital Payout required to be made by a firm to stockholders and bondholders, expressed in terms of a percentage of the contribution of capital. Formula: total required cost of capital divided by total amount of capital contributed. … [Read more...]

Average Daily Float

Average Daily Float -The dollar value of checks or similar negotiable instruments that can be said to be under collection process over a period, divided by total number of days of that period - The number of shares of a company that are outstanding and tradable for the public on an … [Read more...]

Average Life

Average Life Also termed weighted-average life (WAL). Number of years on average that a dollar of outstanding principal on a mortgage remains unpaid. Computed as the weighted average time (using the principal paydowns’ dollar amounts as weights) to receipt of all future cash flows. … [Read more...]

Average Maturity

Average Maturity Time left, on an average, to maturity date on securities owned by a mutual fund. Long average life funds are impacted more by interest rate changes. … [Read more...]

Average (Across-Day) Measures

Average (Across-Day) Measures Price estimation using average price or representative price of trades in large numbers cumulatively. … [Read more...]

Average Rate of Return (ARR)

Average Rate of Return (ARR) Average cash inflow compared to investment amount represented as a ratio. … [Read more...]