Audit Committee
What is an audit committee and what do they do An audit committee is a body within a company that is responsible for overseeing the financial reporting process and auditing activities. The audit committee is typically composed of senior executives, including the chief financial officer and treasurer. Its role is to protect the interests of shareholders by ensuring that the financial...
How to Calculate a Hazard Rate
A hazard ratio is a comparison between hazard rates. This statistic measures the relative risk of death from two treatments, and it is usually calculated using the hazard ratio. In a survival analysis, a hazard rate may be twice as high in the treated group as it is in the control group. However, there are problems associated with relying...
Incremental Cash Flow
What is incremental cash flow and why is it important Incremental cash flow is the additional cash flow that a business generates from taking on a new project or undertaking. It is important to take into account because it can help to assess whether a project is likely to be profitable or not. For example, if a business is considering...
How To Stay Up To Date on Regulatory Changes
If you want to lead a successful company, you need to think about regulatory compliance. Unfortunately, regulatory liability is still a significant issue. Even though there are a lot of companies that are thinking about cybersecurity, hackers, and physical theft, you need to think about regulatory changes as well. This refers to the rules and regulations instituted by the...
4 Factors Lenders Consider When Reviewing Personal Loan Applications
Getting a personal loan isn’t as easy as it may seem. People nowadays can apply for a loan to fund a new business venture, for house construction or renovation, pay for medical bills, and many more. However, not all customers are eligible to apply for a loan. Always remember that lenders, even banks, are not created equal. So, if you're...
Warning Signs of a Transposition Error
A transposition error occurs when one or more consecutive digits is substituted for another. The error can occur for several reasons, but usually involves two consecutive digits. A person who has to manually enter data often has this problem. Even a small transposition error can lead to serious mistakes in tax returns. However, there is no single indicator that...
Debt Instrument
What is a debt instrument and what are its main features A debt instrument is a type of security that represents a loan between two parties. The most common types of debt instruments are bonds and loans. The issuer of the debt instrument is the borrower, and the investor is the lender. The borrower agrees to pay back the loan,...
NAV Return
What is a NAV return and what does it include The NAV return is a measure of how much an investment fund has increased or decreased in value over a specified period of time, and it is typically expressed as a percentage. The NAV return includes both the capital appreciation or depreciation of the underlying assets in the fund, as...
DeFi, Dapps and NFTs: Understanding decentralized finance
The world of crypto, blockchains and decentralized finance can be a confusing and complex place. It does not help that there seems to be a new development in the industry every month. These matters are further complicated due to the diversity of rather intensely held views on everything crypto, with some people calling it the future of commerce and...
Incremental Analysis
How to Use Incremental Analysis to Improve Your Bottom Line Using incremental analysis to improve profitability will increase your margins and boost your bottom line. When your order book expands, you will have an excess of business, but at a cost to your margins. This hit comes from increasing volume of business. But incremental analysis can be used to protect...