DefinitionRational pricing is the assumption in financial economics that asset prices will reflect the arbitrage-free price of the asset as any deviation from this price will be "arbitraged

Small Cap What is Small Cap? Small cap refers to companies with small market capitalization. The definition tends to change a lot, but it generally refers to companies that have a market cap

Sales Meeting What is 'Sales Meeting' A gathering in which a product or service is being discussed, and the benefits are outlined to the potential buyer. The sales meeting is not always a

Scarcity Principle The Scarcity Principle, like other principles of economics, comes from the principles of psychology and behavioral sciences. As per the simplest definition, it states that

Backpricing What is 'Backpricing' A pricing method used in specific futures contracts whereby the price of the commodity to be delivered is priced by the purchaser at some future date afte

DefinitionBasis, as used in United States tax law, is the original cost of property, adjusted for factors such as depreciation. When property is sold, the taxpayer pays/ taxes on a capital g

DefinitionPrivate equity typically refers to investment funds organized as limited partnerships that are not publicly traded and whose investors are typically large institutional investors,

Qualified Trust What is 'Qualified Trust' A tax-advantaged fiduciary relationship between an employer and an employee in the form of a stock bonus, pension, or profit-sharing plan in which

Variable Universal Life Insurance (VUL) What is 'Variable Universal Life Insurance - VUL' Variable universal life insurance (VUL) is a form of cash-value life insurance that offers both a

Variable Cost What is a 'Variable Cost' A variable cost is a corporate expense that varies with production output. Variable costs are those costs that vary depending on a company's product