Tag: pricing
Mainstream Economics
DefinitionMainstream economics may be used to describe the body of knowledge, theories, and models of economics, as taught across universities, that are generally accepted...
Random Factor Analysis
What is 'Random Factor Analysis' A statistical analysis performed to determine the origin of random data figures collected. Random factor analysis is...
Absorbed Cost
What is an absorbed cost and how does it impact a business's bottom line
An absorbed cost is an overhead cost that has been fully...
Return on Assets – ROA
Return on Assets (ROA) is a ratio designed to measure the efficiency of a company’s management. It indicates the company’s profitability as compared to...
Range Accrual
DefinitionIn finance, a range accrual is a type of derivative product very popular among structured-note investors. It is estimated that more than US$160 billion...
Sharpe Ratio
DefinitionIn finance, the Sharpe ratio is a way to examine the performance of an investment by adjusting for its risk. The ratio measures the...
Sales And Purchase Agreement (SPA)
What is a 'Sales And Purchase Agreement - SPA' A sales and purchase agreement (SPA) is a legal contract that obligates a...
Backpricing
What is 'Backpricing' A pricing method used in specific futures contracts whereby the price of the commodity to be delivered is priced...
Binary Option
DefinitionA binary option is a financial option in which the payoff is either some fixed monetary amount or nothing at all. The two main...
Beta
Beta (beta coefficient or β) is a finance term that represents risk of a financial instrument. In simple terms, it is a numerical value...