Asset Swap – Explained

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

What is an Asset Swap?Asset swap refers to the exchange of non-monetary assets such as inventory, fixed assets, intangible assets, long-term equity investments and bond investments that are not intended to be held to maturity. The exchange does not involve or involves...

Asset Swapped Convertible Option Transaction (ASCOT) – Explained

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

What is an Asset Swapped Convertible Option Transaction?Asset Swapped Convertible Option Transaction – ASCOT is a structure in which convertible bonds are divided into two parts using convertible bond options. An isolated item is a bond with ordinary coupon...

Absorption Variance – Explained

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

What is Absorption Variance?The absorption variance represents the amount of labor and overhead costs that were not absorbed or charged to the products; they represent production costs that will never be recovered through the sale of the product. Typically an...

Accrued Dividend (Accumulated Dividend) – Explained

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

What is an Accrued Dividend?An Accrued Dividend, also known as an accumulated dividend is a dividend whose payment date is due but it has not been paid to the shareholder. The dividend is retained by the issuer until paid, so it is accrued or accumulated.Accumulated...

Accountability Matrix – Explained

by TheBusinessProfessor | Feb 23, 2025 | Operations, Project, & Supply Chain Management

What is an Accountability Matrix?An Accountability matrix, also known as a Responsibility Assignment Matrix, Matrix of Responsibilities (MAR), or RACI (for the different types of responsibility), is a project management tool and specifically for the management of...

Clearing House Electronic Subregister System (CHESS) – Explained

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

What is a Clearing House Electronic Subregister System (CHESS)?The Clearing House Electronic Subregister System (CHESS) refers to an electronic means through which the entry or registration of approved securities is done, as well as the transfer of the holdings of...

Clearing House – Explained

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

What is a Clearing House?A clearing house refers to an establishment, usually a financial institution that facilitates the exchange of cheques, bills and other derivatives between members. A clearing house acts as an intermediary between a buyer and a seller in the...

Classical Growth Theory – Explained

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

What is Classical Growth Theory?The Classical Growth Theory is an economic theory that maintains that an increase in population growth leads to a decrease in economic growth. According to this theory, economic growth ceases when there is a rise in population, this is...

Financial Statement Analysis – Explained

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

What is Financial Statement Analysis?Every company, firm or organization has a financial statement which is the official record of losses, profits, expenses and revenue of a business over a given period of time. Examples of a company’s financial statements are...

Financial Planner – Explained

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

What is a Financial Planner?A financial planner is a professional with expertise and experience in tax planning, investment planning, estate planning, asset planning, insurance planning, asset management, risk management, business succession planning and retirement...