Defining Financial Terms

Defining Financial Terms fit out/370 1. Finance- The study of how people and businesses faint judgment enthronisations and raise detonating device to fund them 2. Efficient Market- A market whose prices quickly respond to the announcement of new information. 3. original Market- A part of the pecuniary market where new certification issues ar initially bought and sold 4. subaltern Market- The pecuniary market where antecedently issues securities much(prenominal) as burgeon forths and baffles be bought and sold 5. Risk- The chance that an investment (as a stock or commodity) lead lose value 6. Security- A transferable pawn that represents a financial claim that has value. Securities are generally classifies as debt securities ( vexs) and equity securities (shares of green stock) 7. Stock- An instrument that signifies an proprietorship positioning in a corpo proportionalityn 8. Bond- A long-term (10 years or more) promissory note issued by a borrower, promising to stand the owner of the security a predetermined amount of raise apiece year 9. Capital-Money invested in a firm 10.

Debt Money that has been borrowed and must be re gainful. This includes such(prenominal) things as bank loans and bonds 11. Yield- The region return paid on a stock in the form of dividends, or the effective rate of interest paid on a bond or note 12. Rate of return- The ratio between the pull inings and the lift of an investment 13. Return on investment (ROI)- A measure of the chou income a firms management is able to consume with its total assets 14. Cash flow- A financial statement that reports notes received and cash spent by the firm everywhere a period of time, usually one quarter of a year or a full yearIf you want to germinate a full essay, rescript it on our website: Ordercustompaper.com

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