Riaz Academy
16. Accumulated Benefit
Obligation (ABO): An approximate measure of the
liability of a plan in the event of a termination at the date the calculation
is performed.
Obligation (ABO): An approximate measure of the
liability of a plan in the event of a termination at the date the calculation
is performed.
17. Acid-test ratio: Also
called the quick ratio, the ratio of current assets minus inventories,
accruals, and prepaid items to current liabilities.
called the quick ratio, the ratio of current assets minus inventories,
accruals, and prepaid items to current liabilities.
18. Acquiree: A
firm that is being acquired.
firm that is being acquired.
19. Acquirer: A
firm or individual that is acquiring something.
firm or individual that is acquiring something.
20. Acquisition of
assets: A merger or consolidation in which an acquirer
purchases the selling firm’s assets.
assets: A merger or consolidation in which an acquirer
purchases the selling firm’s assets.
21. Acquisition of stock:
A
merger or consolidation in which an acquirer purchases the acquiree’s stock.
A
merger or consolidation in which an acquirer purchases the acquiree’s stock.
22. Acquisition of stock:
A
merger or consolidation in which an acquirer purchases the acquiree’s stock.
A
merger or consolidation in which an acquirer purchases the acquiree’s stock.
23. Act of state doctrine:
This
doctrine says that a nation is sovereign within its own borders and its
domestic actions may not be questioned in the courts of another nation.
This
doctrine says that a nation is sovereign within its own borders and its
domestic actions may not be questioned in the courts of another nation.
24. Active: A
market in which there is much trading.
market in which there is much trading.
25. Active portfolio strategy:
A
strategy that uses available information and forecasting techniques to seek a
better performance than a portfolio that is simply diversified broadly.
Related: passive portfolio strategy.
A
strategy that uses available information and forecasting techniques to seek a
better performance than a portfolio that is simply diversified broadly.
Related: passive portfolio strategy.
26. Actuals: The
physical commodity underlying a futures contract. Cash commodity, physical.
physical commodity underlying a futures contract. Cash commodity, physical.
27. Additional hedge: A
protection against borrower fallout risk in the mortgage pipeline.
protection against borrower fallout risk in the mortgage pipeline.
28. Adjustable rate
preferred stock (ARPS): Publicly traded issues that may
be collateralized by mortgages and MBSs.
preferred stock (ARPS): Publicly traded issues that may
be collateralized by mortgages and MBSs.
29. Adjusted present
value (APV): The net present value analysis of an
asset if financed solely by equity (present value of un-levered cash flows),
plus the present value of any financing decisions (levered cash flows). In
other words, the various tax shields provided by the deductibility of interest
and the benefits of other investment tax credits are calculated separately.
This analysis is often used for highly leveraged transactions such as a
leverage buy-out.
value (APV): The net present value analysis of an
asset if financed solely by equity (present value of un-levered cash flows),
plus the present value of any financing decisions (levered cash flows). In
other words, the various tax shields provided by the deductibility of interest
and the benefits of other investment tax credits are calculated separately.
This analysis is often used for highly leveraged transactions such as a
leverage buy-out.
30. Administrative
pricing rules: IRS rules used to allocate income on
export sales to a foreign sales corporation.
pricing rules: IRS rules used to allocate income on
export sales to a foreign sales corporation.
