How does one continue perfection of or permanently perfect a purchase money security interest in non-consumer goods? A secured party who takes a PMSI in non-consumer goods has a grace period to file her financing statement. To establish permanent perfection beyond the temporary grace period, she must file the appropriate financing statement within 2...

What is the Stock Purchase Agreement? The stock purchase agreement is the central contract between the parties where the business agrees to exchange as specific number of shares of the business venture for the agreed upon funding. The stock purchase agreement is made up of the following elements: What is the Preamble?  This provision identifies the ...

What is the Anti-Reciprocal Rule? The Anti-Reciprocal Rule is a regulation by the Financial Industry Regulatory Authority (FINRA) that prohibits a mutual fund manager and a brokerage firm from colluding to engage in business transactions that will affect a client negatively. The anti-reciprocal rule was designed to protect investors and clients of b...

What is the Cost Function? A cost function is a mathematical expression or equation that shows the cost of producing different levels of output. What we observe is that the cost increases as the firm produces higher quantities of output. This is pretty intuitive, since producing more output requires greater quantities of inputs, which cost more doll...

What is the Robin Hood Effect? The Robin Hood effect is an economic situation whereby wealth is stolen from the rich to give to the poor in society in order to reduce economic inequality. The Robin Hood Effect entails the redistribution of wealth in the economy in which the poor acquire more financial stability at the expense of the rich. The Robin ...

What is a Dividend Yield? When calculating dividend yield, it is calculated as a percentage of the annual dividend per share of a stock in relation to the current price of the stock. There are two methods used in measuring dividend yield and they include trailing dividend yield and also indicated dividend yield. How Does a Dividend Yield Work? The d...

What is Search Engine Reputation Management? Search engine reputation management (SERM) is a tool that websites and businesses use to maintain their good reputation on search engine and also to revive their reputation once they led in trouble. As the case may be SERM lifts businesses and also saves them from ruins that might result from bad reputati...

What is the SECURITIES EXCHANGE ACT OF 1934? Securities Exchange Act of 1934 (34 Act) regulates transfers of securities after the initial sale. Basically, it picks up where the 33 Act leaves off. More specifically, it deals with regulation of securities exchanges, brokers, and dealers in securities. It also created the Securities and Exchange Commis...

What is a Certified Internal Auditor? A certified internal auditor is employed by a company or the government to review the financial records of that company or the government before an external auditor comes in. CIAs receive special certifications conferred by IIA (Institute of Internal Auditor); this certification allows auditors to work anywhere ...

What is the authority for the Supreme Court of the United States? Article III of the Constitution establishes the US Supreme Court as the highest court in the land. It has original jurisdiction over certain matters, but serves almost entirely as an appellate court. It provides appellate review of the decisions of the highest state court and decision...