Accrued Interest
23 Apr 2008The accrued interest on a bond is the amount of interest that has been deemed to have accumulated on the bond, but which has not yet been paid. It is the amount of interest that would have been pai...
MONEYTERMS
MONEYTERMS:
business-sense
Active Investing
23 Apr 2008Active investing is the opposite of the strategies adopted by passive investing. An active investment strategy is an attempt to out-perform the market through picking and trading securities or through...
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business-sense
ABC1
23 Apr 2008A, B and C1 are the highest three social grades in the most commonly used classification. Media companies frequently use the proportion of their audience in these grades as a measure of the affluence ...
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business-sense
Abnormal Return
23 Apr 2008The abnormal return produced by a portfolio is the excess of the actual return over the return that would be expected given the level of risk taken. For a well diversified portfolio it would typically...
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business-sense
Accrual Principle
23 Apr 2008The principle of accrual (also called matching) is fundamental to accounting. It requires that costs should be matched to the revenues they generate. This means, for example, that cost of an asset ...
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business-sense
Accounting Rate Of Return (ARR)
23 Apr 2008The accounting rate of return (ARR) is a very simple (in fact overly simple) rate of return: average profit ÷average investment as a percentage. The profit number used is operating profi...
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