Accounting Services Finances

Break Point

Jerry Jordan, MBA, MEd, MCouns — Tue, 30 Aug 2011 07:41:39 +0000

The financial threshold of new capital which can be raised before a business’ weighted average cost of capital increases.

Bond Ratings

Jerry Jordan, MBA, MEd, MCouns — Tue, 30 Aug 2011 07:37:26 +0000

Bond ratings are ratings of bonds, with these values being based on perceived likelihood of default of this instruments.

Bond

Jerry Jordan, MBA, MEd, MCouns — Tue, 30 Aug 2011 07:35:29 +0000

A bond is a fixed interest, generally long term debt instrument, which is unsecured and which applied to securities of a governmental nature.

Bid Price

Jerry Jordan, MBA, MEd, MCouns — Mon, 29 Aug 2011 09:47:57 +0000

The bid price is the price a buyer is willing to pay for a security.

Basic Earning Power Ratio

Jerry Jordan, MBA, MEd, MCouns — Mon, 29 Aug 2011 08:00:19 +0000

This ratio is provided by dividing EBIT by a company’s total assets and suggests the ability of the assets of a company to generate operating income.

MYOB

Jerry Jordan, MBA, MEd, MCouns — Sat, 20 Aug 2011 07:25:44 +0000

“MYOB, Mind Your Own Business, is the name of an Australian multinational corporation. The company provides accounting, payroll and retail software and web hosting to small and medium businesses, and is particularly well-known in Australia and New Zealand.

MYOB products are used by over 1,000,000 business owners and over 10,000 accounting practices in Australia and New Zealand.”

(Source: http://en.wikipedia.org/wiki/MYOB_(Software_Company), Accessed 20 August 2011)

Jerry Jordan

Jerry Jordan, MBA, MEd, MCouns — Fri, 19 Aug 2011 09:12:12 +0000

Jerry is the Director of Nocturnal Works and has been involved in business, online marketing, education, counselling and a number of other fields.

He is also the editor of this website and can be reached at the contact us page.

Depreciation of Intangible Assets

Jerry Jordan, MBA, MEd, MCouns — Fri, 19 Aug 2011 09:09:40 +0000

Also known as amortisation, or as “amortization” in North America.

Cost of Capital

Jerry Jordan, MBA, MEd, MCouns — Fri, 19 Aug 2011 09:07:58 +0000

“The cost of capital is a term used in the field of financial investment to refer to the cost of a company’s funds (both debt and equity), or, from an investor’s point of view ‘the shareholder’s required return on a portfolio of all the company’s existing securities’. It is used to evaluate new projects of a company as it is the minimum return that investors expect for providing capital to the company, thus setting a benchmark that a new project has to meet.”

(Source: http://en.wikipedia.org/wiki/Cost_of_capital, citing Brealy &al. “Principles of Corporate Finance”, Chapter 10. Accessed 08 August 2011)

Balance Sheet

Jerry Jordan, MBA, MEd, MCouns — Fri, 19 Aug 2011 09:06:24 +0000

A balance sheet is a statement of a company’s financial position at a nominated point in time (often the end of a period or financial year).