80/20 Rule (Pareto Principle)
The 80/20 rule, commonly known as Pareto Principle, states that 20% of your actions account for 80% of results.
Abenomics is the economic strategy implemented by Shinzo Abe of Japan and is comprised of three arrows: monetary policy, fiscal stimulus and structural reforms.
Abnormal return refers to the unusual profits from certain assets or securities over a specific time period.
Absolute advantage is a situation in which a company can produce the same product as other companies using fewer resources.
The term absolute return refers to the return on investment (whether positive or negative) obtained in a specific period of time.
Abstract is something that exists in thought as an idea.
Abstraction scalability is the expansion in the overall ability of a system that allows programming components to be used as building blocks in a new development environment.
Accepting Risk (Acceptance)
Accepting risk, also known as risk acceptance, is a risk management strategy employed by companies to accept risks linked to certain events instead of investing resources to tackle them.
An account is essentially a whose purpose is to track the financial activities of a specific asset/
Account abstraction is the process of making it easier for users to interact with blockchain by customizing certain elements of smart contract accounts.
Account balance refers to the amount in a bank/cryptocurrency account that can be accessed immediately. On the other hand, in accounting, account balance refers to the sum obtained from the difference between all debit and credit transactions posted to a company’s account.
An account number is a string of numbers (and sometimes letters) that is used to identify a specific bank account and the account holder.
Accountability is the requirement or readiness to assume responsibility for one's actions.
Accounting conservatism is a principle that necessitates the recognition of future expenses and liabilities immediately in a volatile situation rather than future assets and revenues.
An accounting method is a system of rules applied to determine how and when revenue and expenses are recorded in an organization.
Accounting tokens are essentially tokenized credit or debit entries (IOU/UOM), just like any spreadsheet-based accounting system.
An accredited investor is a person or organization that is qualified to participate in financial opportunities that are not legally offered to regular investors.
Accretion (of a Discount)
Accretion of a discount refers to the gain that is generated from the difference between the discounted purchase price and the face value of an asset.
Accrual accounting is a method in which revenues and expenses are recorded in the year in which they occurred instead of when the payment is actually made.
The accumulated interest, income or expenses over a period of time is known as an accrual.
Accrued income is the type of income that has been earned but is yet to be received, it is in accordance with the accrual method of accounting.
Accrued interest is the amount of interest owed by or owed to a company on a specified date on a debt or a financial obligation that is yet to be received or paid.
Accrued liabilities are financial obligations that have not been credited from the company's bank accounts as invoices for these obligations have not been received.
Accrued revenue rises when a business records sales without receiving payment for the goods or services sold as they do not invoice the customer at the time of the sale.
The accumulation phase is a stage in the market cycle right after a downtrend, where the institutional investors start buying in tranches, signaling a positive uptrend soon.
Accumulation/Distribution Indicator
The accumulation/distribution indicator determines the supply and demand level of a stock/asset/cryptocurrency by multiplying the closing price of a specific period with volume.
An acid test ratio is a tool that gives an understanding of a company's ability to pay off its current liabilities.
An acquisition is buying out another company by purchasing a controlling stake
Acquisition cost is generally the total cost to be paid for a company’s property, equipment or other assets after adjusting for incentives, discounts, closing costs and other necessary expenditures but before the sales taxes.
Acquisition premium refers to the price difference between the price paid for a company and its assessed market value.