Net Operating Loss – Explained

by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting

What is a Net Operating Loss (NOL)?A net operating loss (NOL) occurs when the expenses of a taxpayer or company often exceeded the revenues. At this period, taxpayers and companies often receive tax relief to cover up for that year and reduce tax burdens in the...

Network Effect – Explained

by TheBusinessProfessor | Feb 23, 2025 | Strategy, Entrepreneurship, & Innovation

What is the Network Effect?The network effect is a theory that posits that the more people use a product or service, the better the product or service.  The most popular example used in describing the network effect is the internet.  

Money Market – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Money Market?The money market is a type of market where transactions involving financial vehicles are done. The money market is an organized market where short term securities and financial instruments are traded, these securities are however of high...

Money Management – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is Money Management?In a simple language, money management refers to an act of handling ones finances to avoid debt and liability risk. Money management is important for individuals, organizations and the government. The core processes of money management are...

Stagnation (Economics) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy

What is Stagnation?Stagnation is a term that can be used to describe an economy that has little or no growth. It is a state in which an economy experiences little activities and its development or growth is thereby truncated. A stagnant economy is not a moving...

Spread (Trading) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Spread in Trading? A spread is an important term in finance, foreign exchange market, investment market and buying and selling of commodities. A spread refers to the difference in the prices quoted for the sale and purchase of a commodity, stock, currency,...

Speculation (Investing) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is Speculation?Speculation is the act of trading a financial instrument with prevalent risks with the expectation that it will offer significant gains or returns in the nearest future. In the purchase of asset or investment, speculation refers to an act of buying...

Thinly Traded (Securities) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is Thinly Traded?The term Thinly traded is used in securities trade to describe securities that realize low dollar volumes for a trading day. Thinly traded securities are volatile in terms of price, this is due to a limited interest that buyers show for their...

Quantitative Analysis – Explained

by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science

What is Quantitative Analysis?Quantitative analysis (QA) refers to a measure or an approach to understanding a particular behavior through the application of mathematical or statistical models. Quantitative analysis is used for many purposes and in many fields, it...

Associate in Research and Planning (ARP) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Professionalism & Career Development

What is an Associate In Research And Planning (ARP)?The Associate in Research and Planning refers to the professional designation awarded by the Insurance Institute of America to those individuals that successfully complete six national exams. Of the six exams, two...