|Foreign Corrupt Practices Act (FCPA)
Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: stock trading, credit, investment, money, finance, financial, payroll, business,
Definition of Foreign Corrupt Practices Act (FCPA)
Foreign Corrupt Practices Act (FCPA)
a law passed by U.S. Congress in 1977 that makes it illegal for a U.S. company to engage in various â€śquestionableâ€ť foreign payments and
the present value of a finite stream of cash flows for every beginning $1 of cash flow.
the combined discounts for lack of control and marketability. g the constant growth rate in cash flows or net income used in the ADF, Gordon model, or present value factor.
a generalization formula invented by Abrams that is the present value of regular but noncontiguous cash flows that have constant growth to perpetuity.
This doctrine says that a nation is sovereign within its own borders and its domestic
A market in which there is much trading.
A strategy that uses available information and forecasting techniques to seek a
The physical commodity underlying a futures contract. Cash commodity, physical.
The pool factor implied by the scheduled amortization assuming no prepayemts.
Present value of $1 paid for each of t periods.
Ratios that measure how effectively the firm is managing its assets.
A guaranteed investment contract purchased with a single (one-shot) premium. Related:
Futures contracts, such as stock index futures, that settle for cash, not involving
A transaction where exchange is immediate, as contrasted to a forward contract, which
The market model applied to a single security. The slope of the line is a security's beta.
The percentage of a given month's sales collected during the month of sale and each
Conditional sales contracts
Similar to equipment trust certificates except that the lender is either the
A term of reference describing a unit of trading for a financial or commodity future. Also, the actual
The month in which futures contracts may be satisfied by making or accepting a delivery.
Controlled foreign corporation (CFC)
A foreign corporation whose voting stock is more than 50% owned
Rules set by the Chicago Board of Trade for determining the invoice price of each
Existing in actual fact although not by official recognition.
Present value of $1 received at a stated future date.
A bond portfolio management strategy that involves finding the lowest cost portfolio
A financial institution that buys a firm's accounts receivables and collects the debt.
A statistical procedure that seeks to explain a certain phenomenon, such as the return on a
A way of decomposing the factors that influence a security's rate of return into common and
A well-diversified portfolio constructed to have a beta of 1.0 on one factor and a beta of
Sale of a firm's accounts receivable to a financial institution known as a factor.
A guaranteed investment contract where the credit rating is tied to some variable
Foreign banking market
That portion of domestic bank loans supplied to foreigners for use abroad.
A bond issued on the domestic capital market of anther company.
Foreign bond market
That portion of the domestic bond market that represents issues floated by foreign
Foreign currency option
An option that conveys the right to buy or sell a specified amount of foreign
Foreign currency translation
The process of restating foreign currency accounts of subsidiaries into the
Foreign direct investment (FDI)
The acquisition abroad of physical assets such as plant and equipment, with
Foreign equity market
That portion of the domestic equity market that represents issues floated by foreign companies.
Currency from another country.
Foreign exchange controls
Various forms of controls imposed by a government on the purchase/sale of
Foreign exchange dealer
A firm or individual that buys foreign exchange from one party and then sells it to
Foreign exchange risk
The risk that a long or short position in a foreign currency might have to be closed out
Foreign exchange swap
An agreement to exchange stipulated amounts of one currency for another currency
Part of a nation's internal market, representing the mechanisms for issuing and trading
Foreign market beta
A measure of foreign market risk that is derived from the capital asset pricing model.
Foreign Sales Corporation (FSC)
A special type of corporation created by the Tax Reform act of 1984 that
Foreign tax credit
Home country credit against domestic income tax for foreign taxes paid on foreign
A cash market transaction in which delivery of the commodity is deferred until after the
Forward forward contract
In Eurocurrencies, a contract under which a deposit of fixed maturity is agreed to
Agreement to buy or sell a set number of shares of a specific stock in a designated future
Futures contract multiple
A constant, set by an exchange, which when multiplied by the futures price gives
A 1933 act in which Congress forbade commercial banks to own, underwrite, or deal in
Publicly owned stock in a firm is replaced with complete equity ownership by a
Guaranteed insurance contract
A contract promising a stated nominal interest rate over some specific time
Guaranteed investment contract (GIC)
A pure investment product in which a life company agrees, for a
A contract that obligates a purchaser of a project's output to make cash
Highly leveraged transaction (HLT)
Bank loan to a highly leveraged firm.
Transaction carried out between two units of the same corporation.
Manufactured housing securities (MHSs)
Loans on manufactured homes - that is, factory-built or
Market impact costs
Also called price impact costs, the result of a bid/ask spread and a dealer's price concession.
Factoring arrangement that provides collection and insurance of accounts receivable.
Most distant futures contract
When several futures contracts are considered, the contract settling last.
A version of the capital asset pricing model derived by Merton that includes extramarket
Nearby futures contract
When several futures contracts are considered, the contract with the closest
Net benefit to leverage factor
A linear approximation of a factor, T*, that enables one to operationalize the
Next futures contract
The contract settling immediately after the nearby futures contract.
Nexus (of contracts)
A set or collection of something.
Factoring arrangement that provides collection, insurance, and finance for accounts receivable.
A special case of the arbitrage pricing theory that is derived from the one-factor model by
Contracts which have been bought or sold without the transaction having been completed by
The contract that balances the three types of agency costs (contracting, monitoring, and
A contract that, in exchange for the option price, gives the option buyer the right, but not
Options contract multiple
A constant, set at $100, which when multiplied by the cash index value gives the
The supposition that investors overreact to unanticipated news, resulting in
The outstanding principal balance divided by the original principal balance with the result
Present value factor
Factor used to calculate an estimate of the present value of an amount to be received in
Price impact costs
Related: market impact costs
A decline in prices following an advance. Opposite of rally.
Receivables balance fractions
The percentage of a month's sales that remain uncollected (and part of
The pool factor as reported by the bond buyer for a given amortization period.
Round-trip transactions costs
Costs of completing a transaction, including commissions, market impact
Security characteristic line
A plot of the excess return on a security over the risk-free rate as a function of
Set of contracts perspective
View of corporation as a set of contracting relationships, among individuals
Short-run operating activities
Events and decisions concerning the short-term finance of a firm, such as
Single factor model
A model of security returns that acknowledges only one common factor.
Structured arbitrage transaction
A self-funding, self-hedged series of transactions that usually utilize
Tactical Asset Allocation (TAA)
An asset allocation strategy that allows active departures from the normal
A contract that obligates the purchaser to take any product that is offered to it (and pay
Tax Reform Act of 1986
A 1986 law involving a major overhaul of the U.S. tax code.
Any transaction that is not tax-free to the parties involved, such as a taxable acquisition.
Risk to a firm with known future cash flows in a foreign currency that arises from
The time, effort, and money necessary, including such things as commission fees and the
A loan extended by a bank for a specific purpose. In contrast, lines of credit and revolving
Transaction demand (for money)
The need to accommodate a firm's expected cash transactions.
A desire to hold cash for the purpose of conducting cash based transactions.
Turnkey construction contract
A type of construction contract under which the construction firm is
Black's zero-beta version of the capital asset pricing model.
A guaranteed investment contract purchased with deposits over some future designated
CASH FLOWS FROM FINANCING ACTIVITIES
A section on the cash-flow statement that shows how much cash a company raised by selling stocks or bonds this year and how much was paid out for cash dividends and other finance-related obligations.
CASH FLOWS FROM INVESTING ACTIVITIES
A section on the cashflow statement that shows how much cash came in and went out because of various investing activities like purchasing machinery.
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.