![]() |
|
Financial Terms | |
Accumulated Benefit Obligation (ABO) |
Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: inventory, financial, investment, business, money, accounting, stock trading, finance, |
Definition of Accumulated Benefit Obligation (ABO)Accumulated Benefit Obligation (ABO)An approximate measure of the liability of a plan in the event of a
Related Terms:Accidental Death Benefit (ADB)Coverage against accidental death usually payable in addition to base amount of coverage. Accumulated depreciationA contra-fixed asset account representing the portion of the cost of a fixed asset that has been previously charged to expense. Each fixed asset account will have its own associated accumulated depreciation account. accumulated depreciationA contra, or offset, account that is coupled Accumulated depreciationThe sum total of all deprecation expense recognized to date Accumulated Other Comprehensive IncomeCumulative gains or losses reported in shareholders' Accumulated ValueAn amount of money invested plus the interest earned on that money. Allocation base A measure of activity or volume such as labourhours, machine hours or volume of production ![]() Automatic Benefits PaymentAutomatic payment of moneys derived from a benefit. BenefitAn instruction that pays a cash amount upon the occurrence of a specific event. Benefit Ratio MethodThe proportion of unemployment benefits paid to a company’s Benefit ValueThe amount of cash payable on a benefit. Benefit Wage Ratio MethodThe proportion of total taxable wages for laid off benefits-provided rankinga listing of service departments in an order that begins with the one providing the most service cafeteria plan a “menu” of fringe benefit options that includecash or nontaxable benefits Collateralized mortgage obligation (CMO)A security backed by a pool of pass-throughs , structured so that Cost-Benefit AnalysisThe calculation and comparison of the costs and benefits of a policy or project. ![]() cost-benefit analysis the analytical process of comparing therelative costs and benefits that result from a specific course Cost-benefit ratioThe net present value of an investment divided by the investment's initial cost. Also called Death BenefitAmount paid on death of an insured. Defined benefit planA pension plan in which the sponsor agrees to make specified dollar payments to Defined Benefit PlanA pension plan that pays out a predetermined dollar direct laborthe time spent by individuals who work specifically Direct laborLabor that is specifically incurred to create a product. Equivalent annual benefitThe equivalent annual annuity for the net present value of an investment project. Fair Labor Standards Act of 1938A federal Act creating standards of overtime Fixed-dollar obligationsConventional bonds for which the coupon rate is set as a fixed percentage of the par value. Flat benefit formulaMethod used to determine a participant's benefits in a defined benefit plan by Full faith-and-credit obligationsThe security pledges for larger municipal bond issuers, such as states and General obligation bondsMunicipal securities secured by the issuer's pledge of its full faith, credit, and Incremental costs and benefitsCosts and benefits that would occur if a particular course of action were Indirect laborThe cost of any labor that supports the production process, but which is labor efficiency variancethe number of hours actually worked minus the standard hours allowed for the production Labor efficiency varianceThe difference between the amount of time that was budgeted Labor ForceThose people employed plus those actively seeking work. Labor HoardingNot laying off redundant workers during a recession to ensure that skilled and experienced workers are available after the recession. labor mix variance(actual mix X actual hours X standard rate) - (standard mix X actual hours X standard rate); labor rate variancethe actual rate (or actual weighted average rate) paid to labor for the period minus the standard rate multiplied by all hours actually worked during the period; Labor rate varianceThe difference between the actual and standard direct labor rates labor yield variance(standard mix X actual hours X standard rate) - (standard mix X standard hours X standard rate); Labour oncostThe non-salary or wage costs that follow from the payment of salaries or wages, e.g. National Labour-Sponsored Venture FundsVenture capital corporations established by labour unions. They function as other venture capital corporations but are subject to government regulation. Limited-tax general obligation bondA general obligation bond that is limited as to revenue sources. Living BenefitSome insurance companies include this benefit option at no cost to their policy holders. The insurer considers on a case to case basis, the need for insurance funds before death. If the insured can demonstrate a shortened life of less than two years and with some insurers one year, the insurer will consider releasing up to 50% or a maximum of $100,000 of the life insurance coverage held by the insured. Not all insurers offer this benefit for free. The need has resulted in specific stand alone living benefit/critical illness policies coming into existence. Look under "Different types of Life Insurance" for further information. You might have heard of "Viatical Settlements", the practice of seriously ill people selling the rights to their life insurance policies to third parties. This practice is common in the United States but has not caught on in Canada. Net benefit to leverage factorA linear approximation of a factor, T*, that enables one to operationalize the Pension Benefit Guaranty Corporation (PBGC)A federal agency that insures the vested benefits of Target Benefit PlanA defined benefit plan under which the employer makes tax benefit (of depreciation)the amount of depreciation deductible for tax purposes multiplied by the tax rate; Unit benefit formulaMethod used to determine a participant's benefits in a defined benefit plan by Workers' Compensation BenefitsEmployer-paid insurance that provides their employees with wage compensation if they are injured on the job. Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit. |