A capital addition is an increment in an investment or asset’s value that is realized once the asset is sold. It happens when the sale…
Capital Budgeting – Definition, Methods and Objectives
Capital budgeting is a bookkeeping or accounting principle that businesses use to figure out projects that add value to them. With the help of different…
Budget – Definition, Importance and Types
A budget is a financial plan or the estimate of income and expenditure for a given time. It refers to the financial planning associated with…
Cash Advance – Definition, Types, Pros and Cons
A cash advance is a short-term loan that lets credit cardholders get cash from the bank’s ATM through their credit cards. It also refers to…
Capital Expenditure – Definition and Features
Capital expenditure is the money or the capital that a business or organization spends for purchasing, maintaining, or improving its fixed assets like vehicles, buildings,…
Bull Market – Definition, Types and Examples
A bull market is a financial market state in which prices keep on rising or are supposed to continually rise. This term is generally utilized…
Capital Employed – Definition, Importance and Formula
Capital employed is the aggregate amount of capital utilized for the expansion or acquisition of profits by a firm or project. It is determined by…
Capital Structure – Definition, Formula and Theory
Capital structure is the amount of debt and/or equity that a company uses for funding its operations and financing its assets. It alludes to how…
Bridge Financing – Definition, Features and Examples
Bridge financing is the temporary or short-term financing used for covering the financial requirements of a company until long-term permanent financing is arranged. As interim…
Capital Intensive – Definition, Advantages and Disadvantages
Capital intensive is the processes or industries that need enormous capital investments in plants, tools, machinery, etc to create products or services in high volumes…
Capital Stock – Definition, Advantages and Disadvantages
The capital stock is the conglomeration of all sorts of shares a company is authorized to issue. When people give their money to a corporation…
Budgeting – Definition, Importance, Types and Benefits
Budgeting is the act of estimating a company’s future income (the money that comes in from selling products and services) and expenditures (the money that…
Call Report – Definition, Purpose and Schedules
A call report is a regulatory as well as quarterly report named Consolidated Report of Condition and Income that every financial institution and bank in…
Butterfly Spread – Definition, Characteristics and Types
Butterfly Spread is a neutral strategy that combines the advantages of both bull and bear spreads. It’s a strategy with restricted profit potential and a…
Buying Power vs Purchasing Power
Buying power is the money investors have available for buying securities in a trading context. It is the total cash you might have in the…
