What is 'Value Averaging' An investing strategy that works like dollar cost averaging (DCA) in terms of steady monthly contributions, but differs in its approach to the amount of each monthly contribution. In value averaging, the investor...
DefinitionA value-added reseller is a company that adds features or services to an existing product, then resells it as an integrated product or complete "turn-key" solution. This practice occurs commonly in the electronics, or IT industry, where, for example,...
Definition Vendor finance is a form of lending in which a company lends money to be used by the borrower to buy the vendor's products or property. Vendor finance is usually in the form of deferred loans from, or shares...
DefinitionA value proposition is a promise of value to be delivered, communicated, and acknowledged. It is also a belief from the customer about how value will be delivered, experienced and acquired. Value Proposition What is a 'Value Proposition'...
What is a Variable-Rate Certificate of Deposit (VRCD)? A variable-rate certificate of deposit (VRCD) is a type of investment account that offers a variable interest rate. Unlike a traditional CD, which offers a fixed rate, the interest rate on a...
How Does Variable Overhead Efficiency Variance Affect Your Overhead Rate? There are two forms of overhead rate variation: Fixed overhead rate variance and Variable Overhead Efficiency. These variances refer to the difference between the costs of fixed and variable overhead,...
What is a Veblen Good A Veblen good is a type of consumer good for which demand increases as the price increases. This occurs because people perceive the good to be more valuable when it is more expensive. Veblen goods...
DefinitionValue engineering is a systematic method to improve the "value" of goods or products and services by using an examination of function. Value, as defined, is the ratio of function to cost. Value can therefore be manipulated by either...
What is a 'Value Trap' When a company looks to be inexpensive because it has traded at low multiples of profits, cash flow, or book value for a long period of time, the stock is considered to be a value...
What is 'Value Change' An adjustment made to a stock's price to reflect the number of outstanding stock shares, or shares of stock that have been issued and are currently held by investors. A value change allows...