Net Financing Cost Difference between an asset’s yield in cash terms and the costs incurred in funding its purchase. Also termed as cost of carry or carry. Positive carry denotes that yield from asset is higher than the cost incurred, negative carry means that the yield earned from … [Read more...]
Net Float
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Net Float Total when collection float is added to disbursement float. … [Read more...]
Net Income
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Net Income Total earnings of a business, showing the revenues after business costs are adjusted. Other costs that are factored in include interest, depreciation etc. … [Read more...]
Net Income After Taxes
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Net Income After Taxes Included in annual report of company to show the net earnings after all expenses, depreciation, tax, charge offs have been subtracted. … [Read more...]
Net Investment
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Net Investment Total or gross investment less depreciation on assets. … [Read more...]
Net Operating Margin
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Net Operating Margin Comparison in form of a ratio where net operating income is compared with sales, (after returns, allowances, freight and discounts are adjusted) … [Read more...]
Net Lease
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Net Lease Arrangement for lease where lessee is obligated to pay all maintenance, property taxes, insurance and similar costs that are normally incurred for the upkeep of such assets. … [Read more...]
Net Operating Losses
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Net Operating Losses Loss that can afford a tax advantage to a firm. … [Read more...]
Net Option Premium
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Net Option Premium Net amount paid by investor to sell one option and buy another. May result in cash inflow or outflow depending on the difference in prices in the two transactions. … [Read more...]
Net Period
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Net Period Time lag between the completion of discount period and the due date of payment. … [Read more...]
Net Present Value (NPV)
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Net Present Value (NPV) Calculated as current value of future cash flows predicted less costs incurred. … [Read more...]
Net Present Value of Growth Opportunities
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Net Present Value of Growth Opportunities Concept or model where firm is evaluated based on NPV of new opportunities for investment available to the business. … [Read more...]
Net Present Value of Future Investments
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Net Present Value of Future Investments Value at present time if net present values expected from future investments of a firm are added up. … [Read more...]
Net Present Value Rule
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Net Present Value Rule Investment with a positive NPV that makes it a viable one. Negative NPV projects are not viable investments. … [Read more...]
Net Realizable Value
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Net Realizable Value Asset value that is realized when the firm sells it minus an evaluation of the costs associated with the sale or disposal. … [Read more...]
Net Profit Margin
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Net Profit Margin Amount of every dollar of sales remaining after expenses have been covered. Calculated as net income divided by sales. … [Read more...]
Net Salvage Value
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Net Salvage Value Cash flow arising out of project termination after adjusting for tax payable. … [Read more...]
Net Working Capital
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Net Working Capital Also called working capital. Calculated as current assets less current liabilities. … [Read more...]
Net Worth
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Net Worth Surplus, retained earnings in addition to common stock that makes up common stockholders' equity. … [Read more...]
Net Worth Certificate
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Net Worth Certificate FDIC instrument to save failing banks by offering capital. Started in 1982 when deposit rate limitations were removed. … [Read more...]
