Backward integration is a type of vertical integration when a company buys another company to become its own supplier or manufacturer. The company expands its business and increases its size to make the process of delivering goods or services to the consumer smooth. Businesses and companies go through backward integration to either benefit the company … Read more
Isoquant curve is a concave shaped drawing on a scatter-plot graph. It is usually used in the field of microeconomics to calculate the level of output that a certain level of input will produce. It is a graphic representation of how two factors can be increased or decreased simultaneously to reach desired results. Usually, the … Read more
A void transaction refers to a transaction canceled by the vendor before the payment is released from the consumer’s bank account. The merchant or vendor rejects or cancels the consumer’s credit or debit card transaction before it is processed by the consumer’s bank. Void transactions do not appear on your bank statement because the payment … Read more
The term non-negotiable means something is not open for compromise, bargaining, discussion, or revision. It is widely used for contracts and prices of goods and services that are not open for negotiation. If an item is non-negotiable, it simply means that it is not open for negotiation. So, if the price of a good or … Read more
The ledger balance also referred to as the current balance shows the total amount of money in your bank account at the end of a business day. The ledger balance is calculated at the end of a business day and remains the same until updated at the end of the next business day. Because the … Read more
Descriptive statistics describe or summarize the features of a data set. Descriptive statistics are split into two main branches: Measures to central tendency: that include mean, median, mode Measures of variability: these include standard deviation, variance, minimum and maximum variables, range, skewness, and kurtosis What Are Descriptive Statistics? Descriptive statistics depicts the features of a data set … Read more
Deep in the money is an option with a strike price (or exercise price) considerably lower or higher than the market price of the asset. A deep-in-the-money call option is selling significantly lower than its market price. While a deep-in-the-money put option is selling for a significantly higher price than its market price. A deep-in-the-money … Read more
The spinning top is a candlestick pattern in financial technical analysis. A spinning top has a short real body that looks like a rectangle with long lines extending outwards from top and bottom known as upper and lower shadows. A candlestick pattern including a spinning top, according to experts, shows indecision about the future price … Read more
Delivery versus payment (DVP) is a payment settlement app designed for the sale of securities. It guarantees that the payment will only be made to the seller of securities, after the transfer of securities. The buyer is required to prepay or immediately pay upon the purchase of securities or when the securities are delivered. Usually, … Read more
A quarter is basically a period of three months. This term is used widely in finance to check the periodic activity of a company. They are often used as Q1, Q2, Q3, and Q4 in financial statements, analysis, and tax reports. · Q1 is the first quarter of a year that starts … Read more
