Associate in Premium Auditing – Explained

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

What is an Associate In Premium Auditing (APA)?The Associate in Premium Auditing refers to a professional designation that the Insurance Institute of America (IIA) awards individuals who successfully complete the required six national exams. In other words, the APA is...

Phantom Gain (Investments) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Taxation

What is Phantom Gain?A phantom gain refers to a situation whereby an investor owes capital gain taxes despite the fact that the investor’s general investment portfolio might have depreciated in value.How Does Phantom Gain Work?The most popular instance for an...

Pitchbook – Explained

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

What is a Pitchbook?A pitchbook refers to a sales document stating the primary services and value proposition that the firm can deliver. There are two major types pitchbook: Company Pitchbook – This document provides an explanation of the firms offerings and...

Poisson Distribution – Explained

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

What is a Poisson Distribution?A Poisson distribution refers to a statistical distribution reflecting the possible number of times in which an event would occur within a given timeframe. It is utilized for independent events that happen at a consistent rate within a...

Per Share Basis – Explained

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

What is on a Per-Share Basis?The per-share basis refers to a measurement utilized in the financial world to show the quantity of something for a share of a company’s stock. Measures such as these are utilized in analyzing and evaluating a company. Instances of...

Penetration Pricing – Explained

by TheBusinessProfessor | Feb 23, 2025 | Principles of Marketing

What is Penetration Pricing?Penetration pricing refers to a marketing strategy utilized by businesses for attracting customers to a brand new product or service. Penetration pricing involves offering a low price for a new product or service during its first offering....

PEG Payback Period – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles

What is a PEG Payback Period?The PEG (Price to Earnings Growth) payback period refers to a key ratio that is utilized to ascertain how long it will take for an investor to double his or her money with a stock investment. The price-to-earnings-growth payback period is...

Perfect Hedge – Explained

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

What is a Perfect Hedge?A perfect hedge refers to a position which an investor undertakes to eliminate the risk of an existing position, or a position which eliminates every market risk from a portfolio. In a bid to be a perfect hedge, a position must have a 100%...

Combination Loan – Explained

by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry

Update Table of Contents What is a Combination Loan?How Does a Combination Loan Work?Pros and Cons of a Combination Loan What is a Combination Loan?A combination loan comprises two different mortgage loans from the same lender, to the same borrower. A combination loan...

Cognitive Dissonance – Explained

by TheBusinessProfessor | Feb 23, 2025 | Management, Leadership, & Organizational Behavior

What is Cognitive Dissonance?Cognitive dissonance refers to the unpleasant emotion resulting from believing two conflicting things simultaneously. Studying cognitive dissonance is a widely followed field in social psychology. Cognitive dissonance can bring about...