What is a Non-Cancellable Insurance Policy? A non-cancellable insurance policy is one in which the supplier (insurance company) cannot increase premiums or change/reduce the benefit the customers receive for the entirety of the customer’s life or until the customer would no longer like to receive the insurance/benefit. Most often, such a type of insurance policy…
What is a Finance Charge? A finance charge refers to any cost related to borrowing money, obtaining credit, or paying off loan obligations. It is, in short, the cost that an individual, company, or other entity incurs by borrowing money. Any amount that a borrower needs to pay in addition to paying back the actual…
What is a Hammer Candlestick? A hammer candlestick is a candlestick formation that is used by technical analysts as an indicator of a potential impending bullish (upside) reversal in the trading of a financial security. The hammer pattern is seen as one of the most reliable indicators in candlestick charting, especially when it occurs after…
What is a Hard Sell? A hard sell refers to using an advertising or sales approach that is pointed, direct, and aimed at persuading a potential customer to make an immediate decision to purchase a product. A hard-sell approach stands in contrast to a soft-sell approach, which is much less aggressive and not as much…
What is Skewness? Skewness is a measure of asymmetry or distortion of symmetric distribution. It measures the deviation of the given distribution of a random variable from a symmetric distribution, such as normal distribution. A normal distribution is without any skewness, as it is symmetrical on both sides. Hence, a curve is regarded as skewed…
What is Slippage? Slippage occurs when the execution price of a trade is different from its requested price. It occurs when the market orders could not be matched at preferred prices – usually in highly volatile and fast-moving markets prone to unexpected quick turns in certain trends. Any variation between the executed price and the…
What is Six Sigma? Six Sigma is a term used to define various techniques and management tools designed to make business processes more efficient and effective. It provides statistical tools to eliminate defects, identify the cause of the error, and reduce the possibilities of error. Thus, Six Sigma creates an environment of continuous process improvement,…
What is the Small Business Administration (SBA)? The Small Business Administration (SBA) is a federal agency of the United States that serves small businesses. It provides financial assistance to small businesses that are unable to obtain funds on rational terms from the normal lending sources. Such assistance comes in the form of guarantees on the…
What is an Export Trading Company (ETC)? An export trading company (ETC) provides support services to firms that specialize in exporting. From the client’s perspective, it would include warehousing, shipping, insuring, and more. In addition, export trading companies also handle the legal requirements involved throughout the exporting process for various goods. An example would be…
What is an S Corporation (S Subchapter)? An S Corporation (S Corp) is a closely held corporation (Limited Liability Company (LLC), partnership, or C Corporation) that is treated as a pass-through entity for federal tax purposes. It is created through election to be taxed under Subchapter S of Chapter 1 of the Internal Revenue Code….
